Sunday, April 8, 2012

Dodgers to emerge from bankruptcy on April 30 - Financial News

A Los Angeles Dodger player makes his way to the dugout before their MLB spring training game against the San Francisco Giants in Scottsdale

(Reuters) - Los Angeles Dodgers said on Friday it expects to emerge from bankruptcy by the end of April, after a group spearheaded by basketball great Earvin "Magic" Johnson last week agreed to buy the baseball franchise.

The team, which had landed in bankruptcy court in June 2011, said it is filing for an amended plan of reorganization, which is scheduled for hearing on April 13.

On March 27, Dodgers' owner Frank McCourt announced a group of buyers, led by investment banking firm Guggenheim Partners, agreed to buy the team in a record $2 billion deal, paving the way for the storied baseball franchise to emerge from bankruptcy.

"The centerpiece of the amended plan is the agreement by Guggenheim Baseball L.P. to pay $2 billion to acquire the equity of the reorganized debtors," the Dodgers said in a statement.

The amended plan provides for the payment of all allowed claims of creditors in full, it said. (Reporting by Sruthi Ramakrishnan in Bangalore; Editing by Viraj Nair)

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