Quantcast
Channel: Daily Bankrupt Company Updates | Bankrupt Company News
Viewing all articles
Browse latest Browse all 4593

Goodman Networks to File Prepackaged Chapter 11

0
0

On January 24, 2017, Goodman Networks Incorporated and its subsidiaries entered into a restructuring support agreement with holders of the Company’s 12.125% Senior Secured Notes due 2018 who hold more than 75% of the outstanding Notes and more than 80% of the Company’s equity holders regarding a comprehensive financial restructuring transaction that will result in a stronger balance sheet for the Company. The restructuring will be implemented through a prepackaged Chapter 11 bankruptcy in the U.S. Bankruptcy Court for the Northern District of Texas. The Company will continue to operate its business as usual in all respects and the Chapter 11 filing is not expected to have an impact on the Company’s operations. The proposed transaction, among other things, will reduce the Company’s long term debt by approximately $212.5 million through an exchange of the Notes for a cash paydown, new 8% secured notes issued by the Company, and preferred and common equity of the Company.

On January 26, 2017, Moody’s Investors Service downgraded Goodman Networks Incorporated’s probability of default rating to D-PD from Ca-PD following the Company’s announcement that it [will file] filed for relief under Chapter 11 of the United States bankruptcy code. The Company’s Ca corporate family rating, Ca senior secured rating and negative outlook are unchanged. All ratings will be withdrawn shortly following this ratings action. Read more on distressed companies.

The post Goodman Networks to File Prepackaged Chapter 11 appeared first on Daily Bankrupt Company Updates | Bankrupt Company News.


Viewing all articles
Browse latest Browse all 4593

Latest Images

Trending Articles





Latest Images