TPx CommunicationsPrivate▼ Negative
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Parent company files Chapter 11 bankruptcy with asset sale plan, indicating financial distress.
U.S. TelePacific Corp., the parent of cybersecurity and cloud services firm TPx Communications, filed for Chapter 11 bankruptcy protection on June 28 in the Southern District of Texas, listing assets between $100 million and $500 million and debt between $1 billion and $10 billion. The company has a restructuring support agreement with its sponsor and secured lenders to recapitalize, eliminate significant debt, and pursue a sale of its assets, with a stalking-horse bidder proposing $175 million. TPx will continue normal operations during the case, backed by $73.6 million in debtor-in-possession financing that includes $20 million in new money and a $53.6 million roll-up of prepetition debt. The largest unsecured creditors include Uniti Leasing X LLC owed over $4.8 million and Bay Area Rapid Transit District owed over $861,000. CEO Shaun Andrews said the agreement provides flexibility to accelerate strategy and invest in growth.
Parent company files Chapter 11 bankruptcy with asset sale plan, indicating financial distress.