The esteemed legal powerhouse behind Voyager’s committee of unsecured creditors, McDermott Will & Emery, has recently submitted a hefty bill totaling $5.1 million for the extensive work accomplished between March and May.
This latest invoice brings their overall compensation to a staggering $16.4 million, surpassing the initial budget of $11.2 million allocated for the restructuring process. Notably, the creditors have already disbursed $8.9 million towards this billed amount.
Impressively, McDermott’s attorneys dedicated a considerable chunk of their efforts, clocking in 970.9 hours, to the critical task of plan and disclosure settlement. This arduous endeavor encompassed engaging in discussions with the Debtors regarding potential sale options, meeting prospective buyers, and diligently scrutinizing objections raised by other stakeholders.
Interestingly, previous fee periods witnessed substantial activity in this particular domain, primarily focused on a prospective asset sale to FTX. Regrettably, the bankruptcy of the exchange ultimately thwarted the culmination of this deal, leaving behind an unfulfilled endeavor.
Moreover, it is worth mentioning that Voyager, the debtor, had previously paid an impressive sum of $1.1 million to the esteemed law firm Kirkland & Ellis. This payment was for the comprehensive representation rendered to the exchange, acting as the debtors in this intricate case.
The year 2022 witnessed a considerable downturn in the market, consequently prompting numerous bankruptcies. Paradoxically, this dire situation has proven to be highly lucrative for law firms, with notable entities like FTX and Celsius shelling out exorbitant amounts of over $200 million and $50 million, respectively, to cover their legal fees.
All in all, McDermott Will & Emery’s substantial bill, exceeding the predetermined budget, has shed light on the remarkable efforts undertaken by the law firm to advocate for the interests of Voyager’s committee of unsecured creditors.
These tumultuous times have proven to be a financial boon for legal practitioners, with massive sums expended on legal services by industry giants FTX and Celsius.
