A Delaware bankruptcy court judge has approved a recapitalisation plan put forward by Maxcom Telecomunicaciones, which will see a private equity firm pump US$45m into the indebted Mexican triple-play operator.
The endorsement follows approval from…
A Delaware bankruptcy court judge has approved a recapitalisation plan put forward by Maxcom Telecomunicaciones, which will see a private equity firm pump US$45m into the indebted Mexican triple-play operator.
The endorsement follows approval from bondholders which authorised the pre-packaged Chapter 11 restructuring in late July.
A hearing on Maxcom’s Chapter 11 exit plan has been scheduled for 10 September, meaning the telco’s plan to emerge from bankruptcy protection by early autumn remains on track.
Ventura Capital Privado will inject US$45m into the distressed company in exchange for 100% of the reorganised Maxcom’s shares. Meanwhile, bondholders have agreed to exchange their notes for new paper which carries a lower coupon.
The 11% 2014 notes will be swapped for US$200m step-up notes due 2020, which bear interest at 6% until 2016, then 7% from 2016 to 2018, and finally 8% up until 2020.
A previous out-of-court attempt by the telco to exchange the notes failed in April, leading it to pursue voluntary Chapter 11.
Lazard and Alfaro, Davila y Rios are financial advisers to Maxcom, which offers voice, internet and cable services.
Kirkland & Ellis is its US legal adviser and Santamarina y Steta its Mexican legal adviser.
Cleary Gottlieb Steen & Hamilton and Cervantes Sainz are advising the ad hoc committee.
Ventura has retained Vace Partners as its financial adviser and Paul Hastings and Jones Dayas as its US and Mexican legal advisers respectively.
