To facilitate the transaction in an expedient manner, today SquareTwo and its affiliates filed voluntary chapter 11 petitions in the United States Bankruptcy Court for the Southern District of New York. SquareTwo will also be filing for recognition of the U.S. chapter 11 proceedings under Part IV of the Companies’ Creditors Arrangement Act in the Ontario Superior Court of Justice.
SquareTwo enters chapter 11 having already secured the agreement and necessary support from a significant number of its secured lenders to undertake a “prepackaged” restructuring plan that contemplates a change of control transaction pursuant to the chapter 11 restructuring plan. The Company expects to complete this “prepackag…
Read the full article at: http://www.prnewswire.com/news-releases/squaretwo-financial-announces-portfolio-asset-sale-to-resurgent-holdings-and-court-supervised-business-restructuring-300425903.html