Avaya gets court approval for debt plan, to exit Chapter 11 by year-end

News Broadband Global 29 NOV 2017
Avaya gets court approval for debt plan, to exit Chapter 11 by year-end

Avaya announced that the US Bankruptcy Court for the Southern District of New York has confirmed its second amended chapter 11 restructuring plan. As a result, Avaya expects to emerge from the debt restructuring process before the end of this year. 

Avaya expects to have USD 2.925 billion of funded debt and a USD 300 million senior secured asset-based lending facility available upon emergence from chapter 11 protection, a substantial reduction from the approximately USD 6 billion of debt on its balance sheet when Avaya it filed for chapter 11 in January. The revised capital structure is expected to result in more than USD 200 million in annual cash interest savings compared to fiscal year 2016.

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