Latest news with #debt restructuring
Yahoo
10-07-2025
- Business
- Yahoo
Genesis HealthCare Sets New Course to Strengthen Future
Strategic decision to restructure debt anchored in mission to provide high quality care, improve lives KENNETT SQUARE, Pa., July 10, 2025--(BUSINESS WIRE)--Genesis HealthCare, Inc., along with its subsidiaries, announced today that it has taken steps to implement a financial restructuring to secure the long-term delivery of its mission. This process is designed to ensure that the Company can continue operating in a seamless manner, while also allowing the Company to address its legacy liabilities associated with previously divested operations. To facilitate the Company's restructuring efficiently and with minimal disruption to ongoing operations, the Company has filed voluntary petitions for relief under Chapter 11 of the U.S. Bankruptcy Code in the U.S. Bankruptcy Court for the Northern District of Texas Dallas Division (the "Court"). "We have much to be proud of for the tremendous progress we have made as an organization over the last several years as we have implemented a forward-looking, enterprise-wide shift from centralized to market-based operations," said David Harrington, Executive Chairman of the Genesis HealthCare, Inc., Board of Directors. "Our ongoing work has confirmed that, to maintain our momentum, we must address our legacy debt structure. The goal of this filing is to emerge a stronger, healthier company poised to exceed our goals for clinical and operational excellence." Chapter 11 of the U.S. Bankruptcy Code guides how a company can restructure its debt while continuing to operate normally during the reorganization. Subject to Court approval, the Company has secured a commitment of $30 million in debtor-in-possession (DIP) financing, from its existing secured lenders. This DIP financing, combined with cash on hand and cash flow generated from ongoing operations, will support the business to satisfy its ongoing obligations, and enable the Company to remain focused on delivering quality care during the Court-supervised process. Importantly, the filing includes provisions to ensure that staff will retain their positions, pay and benefits so that patients and residents will continue to be served by the providers they trust. Vendor agreements will remain in place while the process moves forward. "We believe this financial reorganization is a necessary step for our organization to sustainably deliver on our mission of improving lives through delivery of high-quality healthcare and everyday compassion," said Lauren Murray, Genesis HealthCare Chief Operating Officer. "We assure all those who rely on us for care that we remain fully focused on and committed to providing the high-quality care you have come to expect, and we thank you for your continued confidence. This process is designed to ensure that we can continue to deliver on that commitment. We also are grateful for our talented staff and their dedication to excellence, which has positioned Genesis HealthCare for continued growth and a bright future." Court filings and additional information related to the proceedings, which include a proposed transaction involving a current affiliate, are available at The proposed transaction is subject to higher bidding and court approval, and would result in the current affiliate acquiring the Company's operations. Those with further questions can call (toll-free in the US) 888-861-3979. Advisors McDermott Will & Emery LLP is serving as legal counsel, Ankura Consulting is providing financial restructuring and Chief Restructuring Officer services (Russell A. Perry and Louis E. Robichaux IV, Co-CROs), and Jefferies is serving as exclusive investment banker. ABOUT GENESIS HEALTHCARE, INC. Genesis HealthCare, Inc. is a holding company with affiliates that operate skilled nursing facilities and assisted/senior living communities. Its subsidiaries also specialize in contract rehabilitation therapy, respiratory therapy, physician services, and accountable care, collectively referred to as Genesis HealthCare. To learn more, visit View source version on Contacts MEDIA CONTACT mediainquiry@
Bloomberg
03-07-2025
- Business
- Bloomberg
Elliott-Backed Cubic Revamps Debt in Deal That Adds Fresh Equity
Elliott Investment Management and Veritas Capital Fund Management -backed Cubic Corp. has reached an agreement with creditors to cut its debt load and extend maturities in a deal that will also see the private equity sponsors inject fresh equity into the struggling company. As part of the transaction, holders of Cubic's roughly $1.4 billion term loan B due 2028 will exchange their debt at par for a new first-lien loan that matures a year later, and will also provided new financing, according to people with knowledge of the terms. The deal reconfigures the loan's repayment order to include new second-out and third-out priorities.
Yahoo
01-07-2025
- Business
- Yahoo
Wolfspeed Stock Soars as Chipmaker Goes Through With Bankruptcy Filing
Wolfspeed shares took off when, as expected, the struggling chipmaker filed for bankruptcy. The company explained that the move was part of its plan to work with key lenders to have its debt restructured. Wolfspeed said the restructuring will cut its overall debt by 70%.Wolfspeed (WOLF) shares doubled when the struggling silicone carbide chipmaker officially filed for Chapter 11 bankruptcy as planned in order to complete a debt restructuring plan. The company called the move the "next step to implement its previously announced Restructuring Support Agreement ("RSA") with key lenders." Wolfspeed has said the RSA would slash its overall debt by 70%, or about $4.6 billion, as well as reduce its yearly cash interest payments by approximately 60%. The firm maintains that it expects to move through the restructuring quickly, and emerge from bankruptcy this quarter. CEO Robert Feurle explained that by strengthening its finances, "Wolfspeed will be better positioned to move faster on our strategic priorities and maintain our position as a global leader in the silicon carbide market." Wolfspeed was already in financial straits when in March outgoing interim executive chair Tom Warner warned that the company may not receive $750 million in grants and $1 billion in tax credits it had anticipated from the CHIPS and Science Act of 2022. That news sent shares plunging, and they dropped even more in May following a report that it was considering filing for bankruptcy. Even with today's big gains, shares of Wolfspeed have lost nearly 90% of their value this year. Read the original article on Investopedia
Bloomberg
14-06-2025
- Business
- Bloomberg
Selecta's Debt Deal Leaves Bitter Aftertaste for Some Creditors
By and Libby Cherry Save Welcome to The Brink. It's Giulia Morpurgo and Libby Cherry, reporters in London and Frankfurt, where we looked at the peculiar features of the deal to restructure the debt of Selecta. We also have news on Ecuador, Marelli and EchoStar. Follow this link to subscribe. Send us feedback and tips at debtnews@ The restructuring of the Swiss vending machine operator Selecta 's announced this week leaves some of its minority debt holders with an invidious choice, Giulia Morpurgo and Libby Cherry write.
CTV News
05-06-2025
- Business
- CTV News
Transat shares leap after restructure of hefty pandemic debt
Air Transat self service check-in kiosks are seen at Montreal-Trudeau International Airport in Montreal, on Friday, July 31, 2020. THE CANADIAN PRESS/Paul Chiasson Transat AT Inc. shares jumped 14 per cent in mid-afternoon trading Thursday after the travel company announced major restructuring of pandemic-era debt. The Montreal-based company, which owns Air Transat, says it has cut its outstanding debt with a federal Crown corporation by more than half to $334 million as part of the agreement. Transat says it will pay off $41.4 million in cash, consolidate part of its credit into a single $175-million facility and issue a $158.8-million debenture to a Canada Development Investment Corp. subsidiary. Transat will also issue the federal entity $16.3 million in shares for a 19.9 per cent stake in the company under a debt-for-equity swap. ATB Capital Markets analyst Chris Murray says the debt restructure comes on 'highly favourable terms' for Transat, given the red ink on its balance sheet. Transat was one of several airline outfits to take advantage of federal aid packages during the COVID-19 pandemic, which saw border closures and health restrictions wreak havoc on carrier earnings. The deal remains subject to definitive agreements being carried out and documents putting the transaction into effect. This report by The Canadian Press was first published June 5, 2025. Companies in this story: (TSX:TRZ) The Canadian Press
