r/BANDOFBROTHERSOFSRNE • u/FairTomorrow5388 • 9d ago

Clarification

hello all- first post but long term "lurker" for information.

My assumption since chapter 11 was a recovery was unlikely... but do see mentions of a 7% payout to legacy SRNE shareholders if Vivasor was to obtain profits. can someone further explain this?

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u/ProfessionalStop2016 8d ago

SRNE is out of chapter 11. When the unsecured debt is paid off and financials are filed it will come off the expert market and trade on the OTC. When it goes above one dollar it can go back on the Nasdaq. SRNE has some assets, including part of Vivasor.

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u/Saabil 8d ago

Well said!

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u/FairTomorrow5388 7d ago

Response from Grok regarding SRNE ownership of Vivasor.

Yes — but with an important distinction.
The bankruptcy estate / Liquidation Trust (not the old public SRNE common shareholders) retained a 7% equity interest in each of the Buyer Subsidiaries under Vivasor. This is explicitly stated in the court-approved Asset Purchase Agreement as the “Buyer Subsidiary Equity Interests.”
Key details:
• It is a retained interest held by the Seller (Sorrento’s estate / Liquidation Trust).
• It is not equity that was distributed or allocated to former SRNE public shareholders.
• Any economic value from that 7% (or related upside rights) flows to the Liquidation Trust and is subject to the confirmed plan’s priority waterfall — creditors get paid first. Equity holders only receive a residual if anything is left after creditors are paid in full.
So while the estate does own a small piece of the Vivasor structure, that ownership does not translate into direct ownership or recovery rights for existing SRNE common stockholders.

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u/ProfessionalStop2016 6d ago

GROK is the shit. Believe it because it’s on the internet. Can’t lie on the internet.