medium · Corporate Credit Analysis distressed
A manufacturer, ForgeWorks, has $400M in first-lien Term Loan B debt,$200M in senior unsecured notes, and $100M in subordinated notes. In a default scenario, the going-concern Enterprise Value is estimated at $450M.
What is the estimated recovery for the senior unsecured notes?
- 25%
- 0%
- 100%
- 64%
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