Sources believe the enterprise IT software solutions company will now swap all of its second-lien debt into equity.
Sources said lenders led by private equity firms Littlejohn & Co. and New Mountain Capital will swap debt for equity and provide as much as $43 million in post-petition financing.
The hedge fund is making a $120 million investment to help the electronics retailer restructure debt, achieve liquidity for holiday season.
Distributions by private equity firms to limited partners reached record levels last year.
The cupcake retailer will kick off a scheduled Aug. 21 auction with a $6.64 million credit bid from Lemonis Fischer Acquisition.
Crumbs Bake Shop Inc. is set to go to auction on Aug. 21, if competing bids are received by Aug. 19.
Florida hospital needs to complete transaction with Hospital Corp. of America to avoid sour fate, analyst warns.
American Apparel said it was pulling back from the brink of defaulting on its debt, thanks to $25 million in immediate financial support from New York hedge fund Standard General.
The owner of the Hard Rock Hotel & Casino Las Vegas has until June 2 to make up the interest it owes to its lender, but doesn't believe it'll be able to do it.
Affiliates of private equity-backed Energy Future Holdings missed $119.3 million in interest payments due on its debt on Tuesday as the electricity provider works toward a prenegotiated bankruptcy filing.