Sears Holdings Corp (SHLDQ) is mostly liquidated after the sale of their almost all of their assets via newly created limited liability companies to Lampert/ESL. As the Official Committee of Unsecured Creditors stated in their limited objection to extending the exclusive period to file a reorganization plan (docket 2544) “upon the closing of the sale, (i) the Debtors no longer will have any operating businesses for which the Chapter 11 Cases are a disruption, (ii) the only assets of any significance that will remain in the Debtors’ estates will be litigation claims…”
Sears wanted to extend the exclusive period to file a reorganization plan until June 12. The UCC objected wanting only a 30 day extension. An agreement was reached and the exclusive period to file is extended to April 15 and to solicit ballots by June 12. There will be a hearing on March 21 to update the court on their progress (docket 2626).
They are expecting a liquidation trust will be created. The trust would pay money for releases and any payments from future litigation.
The SHLDQ stock price soared this week on incorrect information on chat rooms and a modest short squeeze-not on any bullish facts.