One of two groups competing to reorganize the bankrupt New York City Opera has won the crucial backing of the organization's creditors, The New York Times writes. The official committee of unsecured creditors joined NYCO Renaissance, a group led by investment manager Roy G. Niederhoffer and opera producer Michael Capasso, in a plan filed late Monday in U.S. Bankruptcy Court.
NYCO Renaissance and a rival group led by architect Gene Kaufman, New Vision for NYC Opera, initially sought to buy City Opera's name and assets for a new company. They switched tack to reorganization after the opera's opera's board voted in July to restructure rather than wind down the company.
City Opera filed for Chapter 11 protection in 2013 and faces more than $25 million in claims. Reorganizing would allow it to to receive a multimillion-dollar bequest from a benefactor who died during the organization's final days. A spokeswoman for Mr. Kaufman said he also plans to submit a restructuring plan.