CINCINNATI, OH — There are at least two notable objections to the prearranged Chapter 11 plans announced by Regent Communications earlier this month — one from a shareholder and one from a U.S. trustee. Regent owns four stations in the Utica-Rome market.
Update 3/23: Report says U.S. trustee’s objection has been dismissed.
According to Reuters, the trustee — explained as an intermediary party tasked “to ensure compliance with applicable bankruptcy laws and procedures” — believes shareholders have a right to vote on the plan. Regent had requested permission to waive the voting so that the reorganization plan, which had approval from major creditors, could be executed swiftly.
In addition to the U.S. trustee’s objection, Resilient Partners, LP tells the SEC it has concerns with the plan. As explained in today’s edition of Taylor on Radio-Info, the company bought about 440,000 shares of Regent stock between December 2009 and early March 2010 — that’s about 6.6% of the company’s stock. Taylor speculates Resilient could make enough noise to get the plan changed in its favor.
Updated 3/23: This morning’s edition of Taylor on Radio-Info reports that the objection filed by U.S. Trustee Roberta de Angelis has been dismissed by a bankruptcy judge in Delaware, and Regent’s prearranged Chapter 11 reorganization plan will continue to move forward as originally planned.
Disclosure: CNYRadio.com editor Peter Naughton moonlights as a part-time weekend personality at Lite 98.7 (WLZW), which is owned by Regent Communications.