"Today's hearing is an important step in the Chapter 11 process, which will ensure we are able to uphold our commitments to our employees, customers and suppliers as we move forward to become a stronger company," said Rich Preziotti, President & CEO of Vertellus. "We appreciate the Court's careful consideration of our proposals as well as the ongoing support of our lenders, and look forward to efficiently completing this process as an even stronger employer, innovator and business partner."
Vertellus previously announced May 31, 2016, that it had reached an agreement through which its existing term loan lenders would purchase substantially all of Vertellus Specialties Inc.'s U.S. and international assets. This agreement would provide long-term financial stability and allow the Company to implement its go-forward business strategy under new ownership.
To achieve its financial objectives and facilitate the sale, Vertellus Specialties Inc., its corporate parent Vertellus Specialties Holding Corp., and its U.S.-based subsidiaries filed voluntary Chapter 11 petitions in the United States Bankruptcy Court for the District of Delaware. The filings do not include Vertellus Specialties Inc.'s international entities in Belgium, the U.K., India and China, although these entities are included in the sale process.
Additional information can be found at www.VSRestructuring.com.
Vertellus is advised in this transaction by DLA Piper, Jefferies and FTI Consulting. The lenders are advised in this transaction by Milbank, Tweed and Moelis & Company.