A $16 million piece of Superior TeleCom was set to auction late Tuesday with the seller of the piece said to be an original lender. Dealers quoted the name in the 39-41 context prior to the auction, but it could not be determined by press time if the transaction was completed. Two weeks ago, the bank debt was quoted in the 37-39 context.
Early last month, Superior TeleCom received court approval for its disclosure statement. Under the company's plan of reorganization, senior lenders are slated to receive 100% of the stock in the reorganized company, subject to dilution from management options and stock purchase warrants; $145 million in new senior notes and $5 million in preferred stock. Calls to David Aldridge, Superior's cfo and chief restructuring officer, were not returned.
Cable names are stronger in the secondary loan market due in part to recent asset sales, which assigned high values to cable assets, noted traders. Charter Communications' "B" loan ticked up to the 95 1/2- 96 range from the 94-95 context, where it was quoted last week. Adelphia Communications' Century Cable loan, known as "Century old," was trading in the 87-88 1/2 range. This is up from the 85-87 context where the name changed hands two weeks ago. Adelphia also came out with better numbers in its August monthly operating report, one trader said.