caseism

Kmart and ESL Investments (A) Case Solution & Answer

This Case is about FINANCIAL ANALYSIS, FINANCIAL MANAGEMENT, REORGANIZATION

PUBLICATION DATE: August 14, 2008 PRODUCT #: 209044-HCB-ENG

A leading broke retailer is poised to emerge from Chapter 11. Two activist hedge funds (“vulture investors”) will possess over 50% of reorganized Kmart’s common stock, based on past investments in Kmart’s debt claims, and an infusion of new equity funding.

The chapter 11 process has formed both advantages and prices for the business. The worth of the reorganized company, and its future profitability, are both highly dubious.

Share This

LOOK FOR A FREE CASE STUDY SOLUTION

JUST REGISTER NOW AND GET 50% OFF ON EACH CASE STUDY