Problems in the Chapter 11 plan sought by Dallas-based Energy Future Holdings Corp.
The company told senior secured noteholders this week it is pivoting from a proposed settlement in favor of a deal with unsecured noteholders. It could prompt the senior lenders to reject the Chapter 11 bankruptcy in a Delaware court.
It was last fall when TCEH Corp. emerged from its Chapter 11 financial restructuring process as a standalone company after a tax-free spinoff from parent company Energy Future Holdings Corp. The emergence also led to a new name and brand called Vistra Energy.
The move left Energy Future Holdings and Energy Future Intermediate Holdings Corp. moving toward their own Chapter 11 emergency. But that could be on hold with the latest development.
