ANALYSIS-Investors bet on equity in bankrupt US companies

Newswire

*Bankrupt companies penny stocks soar to dollars *Distressed investors betting on risky equity *Investors argue they have stake but courts disagree By Tom Hals and Caroline Humer WILMINGTON, Del./NEW YORK, May 21 (Reuters) - Buying shares in a bankrupt company is a risky bet. But more than a handful of distressed investors are doing just that, betting the stocks will rise during the court process or that they will get a payoff from the company. Indeed, many of these stocks -- in ...

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