Dr. Phil McGraw’s production company struck a settlement with creditors of bankrupt Merit Street Media Inc. to pay $17 million in a push to keep the media venture’s restructuring alive.
The proposed settlement is the best path forward for Merit Street by maximizing more value than if the Chapter 11 were converted to a Chapter 7 liquidation or dismissed, an unsecured creditors’ committee told the US Bankruptcy Court for the Northern District of Texas in a filing Friday.
The filing comes as the McGraw-backed Merit Street continues a dispute with two key creditors in court—its Christian media business partner, Trinity ...