Bondholders look to gain control of TelCove

 by Hardeep Dhillon A deal may soon be struck that would see bond investors take over the bankrupt telco

The bondholders in telephone and internet service provider TelCove will gain majority control of the embattled company under a proposed reorganization plan, which is supported by committees of secured and unsecured creditors.

TelCove, formerly part of Adelphia Communications, filed for bankruptcy in March 2002, heavily burdened with debt after aggressive expansion plans. The company filed a reorganization plan with the US Bankruptcy Court for the Southern District of New York on August 25.


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