Privately-held Think Finance and five affiliated Debtors filed for Chapter 11 protection with the U.S. Bankruptcy Court in the Northern District of Texas, lead case number 17-33964. The Company, which provides specialty finance services, is represented by Gregory G. Hesse of Hunton & Williams.
According to documents filed with the Court, “While Think Finance had intended to leverage its successful track-record and explore opportunities for continued growth and innovation in the fast-moving fintech industry, it has been forced to seek bankruptcy protection because of a liquidity crisis caused by hedge fund Victory Park Capital Advisors, LLC (‘Victory Park’). Victory Park has caused GPL Servicing, Ltd. (‘GPLS’) – an entity that owes Think Finance and its subsidiaries tens of millions of dollars – to stop paying Think Finance for its services and Victory Park has raided GPLS’s bank accounts. The scheduled payments from GPLS that Victory Park has intercepted represent a major component of Think Finance’s near-term cash flow. Without these funds, Think Finance soon could be forced to cease or substantially curtail its operations.”
Think Finance’s Chapter 11 petition indicates total assets greater than $100 million.
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