CBLAQ - CBL stock unit holders to get ~10% of reorganized company's equity under plan

CBL & Associates (CBLAQ) stock sinks 38% after submitting its reorganization plan with bankruptcy court.Under the plan, holders of allowed existing REIT preferred stock, allowed existing LP common units, and allowed existing REIT common stock will get 10% of the reorganized company's new common stock, in aggregate.That amount is subject to dilution by warrants being issued as part of the plan, its management incentive plan, and other subsequent issuances of common stock by the REIT.The restructuring plan still requires bankruptcy court approval.CBL filed for Chapter 11 bankruptcy protection in early November, after many tenants failed to pay rent when they were closed during the pandemic.

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CBL stock, unit holders to get ~10% of reorganized company's equity under plan