Apple Tree Life Sciences, Inc. Bankruptcy Case

Seven months into a contested Chapter 11, Apple Tree Life Sciences, Inc. has shifted from a capital-call collection case into a cross-border governance fight, with Cayman-appointed officeholders now pressing to displace the Debtors' general partner. The Debtors—a New York-based biotechnology venture capital enterprise managing the $6.5 billion ATP Life Science Ventures, L.P. fund and 15 life-science portfolio companies—filed on December 9, 2025 (Voluntary PetitionDkt. 1) after their majority limited partners, the Rigmora LPs, refused roughly $106 million in May 2025 capital calls. The filing followed a December 5, 2025 Delaware Chancery decision ordering specific performance of more than $96 million that remained unpaid, against a backdrop in which the Rigmora LPs' ultimate beneficial owner's Russian ties had foreclosed outside financing on KYC and sanctions concerns (CRO DeclarationDkt. 25).

The corporate debtors carried no secured debt at filing; the Fund's principal encumbrance is a $75 million Hercules Capital first-lien loan against the Fund's equity in commercial-stage portfolio company Braeburn (Harrison DeclarationDkt. 18). Liquidity drove the early case: the Debtors moved for a combined DIP and cash-collateral package anchored by a proposed $65 million Oaktree Capital delayed-draw superpriority term loan, but the Rigmora LPs objected and the motion was taken under advisement with no interim or final financing order entered, leaving the estates without court-approved new-money DIP authority.

Alexander Lawson and Barry Lynch asked the Delaware bankruptcy court to recognize their appointment as joint Cayman officeholders and confirm their authority to control the restructuring. The Cayman court appointed them on July 10 after finding that the debtors’ primary investment fund had lost its substratum, displacing ATP III GP Ltd. The recognition motion seeks authority to file papers, direct the chief restructuring officer, obtain books and records, and control Apple Tree Life Sciences—the fund’s wholly owned operating subsidiary—or compel its management to follow their directions.

The requested order would resolve who can direct the debtors, professionals, and CRO following the Cayman intervention; Delaware has not yet granted that relief. The court shortened notice and set a July 20 noon EDT objection deadline and a July 22 hearing at 10:00 a.m. EDT under the scheduling order. Parties challenging the officeholders’ proposed governance authority therefore have only six days from entry of the scheduling order to respond.

Apple Tree Life Sciences, Inc.

Apple Tree Life Sciences, Inc.

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Cayman officeholders seek control of Apple Tree restructuring

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