(Bloomberg) — Altice USA lenders have tapped Sullivan & Cromwell to assist struggle a lawsuit which alleges they labored collectively to freeze the corporate out of the US credit score market.
Sullivan & Cromwell, recognized for its anti-trust experience, will work alongside Akin Gump Strauss Hauer & Feld which the collectors had retained earlier, in keeping with folks acquainted with the matter who requested to not be recognized discussing a personal matter.
The US unit of billionaire Patrick Drahi’s telecom empire shocked credit score markets when it sued lenders together with Apollo Capital Administration LP, Ares Administration LLC and BlackRock Monetary Administration Inc. final month, alleging a so-called cooperation settlement that they’d struck amounted to an “unlawful cartel.”
The lawsuit, the primary of its variety to be introduced by a borrower, thrust the legality of the pacts, that are designed to offer bond and mortgage holders extra leverage by negotiating as a bloc reasonably than individually, into the highlight.
Representatives for Sullivan & Cromwell, and for the group of lenders to Altice USA, didn’t instantly reply to requests for remark. A consultant for Altice USA additionally didn’t instantly reply.
Altice USA — which just lately rebranded as Optimum Communications Inc. — has struggled beneath a heavy debt load. The agency has been working with Kellogg, Hansen, Todd, Figel & Frederick, a regulation agency recognized for its antitrust experience and likewise the architect behind the lawsuit.
Akin Gump Strauss Hauer & Feld, together with PJT Companions, which can also be advising the creditor group being sued, mentioned on a name with lenders final month that the lawsuit has no advantage, Bloomberg reported.
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