iQor Takes Action to Strengthen Capital Structure, Reaches Agreement to Enhance Financial Stability

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Restructuring Provides for Enhanced Liquidity via a $80 million Revolving Credit Facility and up to $97.5 million of New Money Investment from Existing LendersTransaction to be Implemented Through a Voluntary, Pre-Packaged Chapter 11 ProcessOperations Continuing Without Interruption; No Impact Expected for Customers, Vendors, or EmployeesiQor (“the Company”), a managed services provider of customer engagement and technology-enabled BPO solutions, announced today that iQor Holdings Inc. and each of its U.S. subsidiaries have filed voluntary petitions under Chapter 11 of the U.S. Bankruptcy Code in the United States Bankruptcy Court for the Southern District of Texas to implement an agreement between a majority of its secured lenders to recapitalize its funded debt.The Debtors have commenced these Chapter 11 cases with a pre-packaged plan of reorganization (the “Plan”) that includes the requisite stakeholder support in favor of the Plan. The Plan has the overwhelming support of the Company’s lenders, with holders of 97% of the Company’s first lien notes and 84% of the Company’s second lien notes already voting to approve the Plan. The company has not received any votes to reject the plan. The Company’s filing and the Plan represent an essential step to improve the Company’s financial stability and address certain upcoming …

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