EQUITY COMMITTEE COMMENCES LAWSUIT AGAINST
CURRENT AND FORMER OFFICERS AND DIRECTORS OF PREMIER EXHIBITIONS, INC.
On June 5, 2018, the Equity Committee filed suit in the Bankruptcy Court asserting causes of action against certain current and former officers and directors of Premier Exhibitions, Inc. The case is Official Committee of Equity Security Holders v. Mark A. Sellers, et al., Case no. 3:18-ap-00064-PMG. The Equity Committee complaint alleges breach of fiduciary duty, gross negligence, and equitable subordination.
A copy of the Complaint may be viewed HERE
EQUITY COMMITTEE FILES CHAPTER 11 PLAN AND DISCLOSURE STATEMENT
June 1, 2018 -- On June 1, 2018, the Equity Committee filed Its Chapter 11 Plan of Reorganization Proposed by The Official Committee of Equity Security Holders of Premier Exhibitions, Inc., Docket 1045, and its Disclosure Statement To Accompany Chapter 11 Plan Of Reorganization Proposed By The Official Committee of Equity Security Holders Of Premier Exhibitions, Inc., Docket 1044.
A copy of the Equity Committee Plan as filed with the Bankruptcy Court may be accessed HERE and a copy of the Disclosure Statement may be accessed HERE.
EQUITY COMMITTEE GRANTED DERIVATIVE STANDING TO PURSUE D&O CLAIM
May 25, 2018 -- The Bankruptcy Court entered an order on May 25, 2018, granting the Equity Committee standing to pursue causes of action against current and former officers and directors of Premier Exhibitions, Inc. The Equity Committee sought derivative standing to pursue these claims after more than a year of investigation and discovery with respect to prepetition conduct that contributed to the Debtors’ current financial condition. The claims to be pursued include breach of fiduciary duty, gross negligence, and equitable subordination. The Bankruptcy Court also approved the Equity Committee’s application to retain Agentis, of Miami, FL, as special litigation counsel to conduct the litigation. Additional information will be made available once the complaint has been filed with the Bankruptcy Court.
A copy of the Derivative Standing Order may be viewed HERE.
COURT APPROVES SETTLEMENT OF LARGEST GENERAL UNSECURED CLAIM
March 14, 2018 -- Premier has favorably settled the largest outstanding general unsecured claim against the estate. The creditor, 417 Fifth Ave Real Estate LLC, the landlord of Premier's former New York exhibition site, (the "Landlord"), had filed proofs of claim asserting claims totaling nearly $12.6 million for unpaid rent and construction loads. Under the settlement, the Landlord will be granted an allowed general unsecured claim only in the amount of $5.5 million and the remaining claims will be disallowed.
The Landlord's claim was settled after a day-long mediation in Tampa, Florida. The Equity Committee's counsel attended and participated in the mediation.
A copy of the motion for approval of the settlement was filed on February 12, 2018, and was approved by the Bankruptcy Court on March 14, 2018. Click HERE to review a copy of the settlement motion and HERE for a copy of the order approving that motion.
MEDIATOR REPORT FILED
March 5, 2018 -- Premier Exhibitions, Inc. (OTCQB:PRXIQ) today filed the Mediator's Report on the plan mediation held on February 26 and 27th in Atlanta, Georgia. See Docket No. 970. As noted in the Mediator's Report, the mediator met with representatives of the Debtors, the Equity Committee, Creditors Committee, and Prepetition Secured Creditors/Equity Holders, separately, on February 25, 2018, to discuss the logistics and conduct of the mediation. In addition to these parties, the United States Department of Commerce (National Oceanic and Atmospheric Administration), the DIP lender, and the Prepetition Secured Creditors/Equity Holders, and a representative of the Ad Hoc Equity Group met in a series of negotiations on February 26 and 27. No final resolution was reached but the parties continue their discussions. At the parties' request, the mediator is available to assist in continuing dialogue to reach closure on the remaining open issues. The mediator will maintain the confidentiality of the nature and extent of settlement until the finalization of agreements between some or all of the parties, particularly in light of the fact that equity securities of Premier Exhibition, Inc. are publicly traded.
The Debtors' exclusive right to file a plan, under Bankruptcy Code §1121, expired on February 14, 2018 without the Debtors having confirmed a plan. The Equity Committee will continue its discussions with the various interested parties.
A copy of the Mediator's Report is available here.