Credit: eamesBot/Shutterstock.com Bankruptcy Judge Dismissed Fraudulent Transfer Claim in $7.2 Billion Purchase Led by Kohlberg Kravis Roberts
"It is black letter law in this Circuit that the gold standard for determining the value of an asset is to sell it in an open and fair market," stated U.S. Bankruptcy Judge Brendan Linehan Shannon. "A thing is worth what a willing buyer will pay to a willing seller following a proper marketing process.
June 16, 2023 at 02:07 PM
4 minute read
A federal bankruptcy judge in Delaware dismissed an allegation of fraudulent transfer which arose from the $7.2 billion, 2011 sale of Samson Investment Company by the Schusterman family to a private equity consortium led by Kohlberg Kravis Roberts.
U.S. Bankruptcy Judge Brendan Linehan Shannon called this case, which was brought by the trustee of the Samson Settlement Trust in 2017, "unusual." It was filed against the former owners of Samson who are individual members of the Schusterman family and family trusts that owned or held Samson stock prior to the sale. The suit sought to recover the proceeds they received when the company was sold in 2011 to a private equity consortium led by Kohlberg Kravis Roberts & Co., according to the opinion filed June 14.
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