Intelsat aims to halve its debt by more than half to $7bn and has the support of holders of about $3.8bn of its debt.
Intelsat has proposed a restructuring plan, backed by some of its creditors, to emerge from Chapter 11 bankruptcy with its debt halved from nearly $15bn to $7bn. The plan has the support of holders of approximately $3.8bn of the companys funded debt with Intelsat continuing to engage with all its stakeholders for additional support.
According to the plan, 95% of the companys new shares will go to Intelsat Jackson unsecured debt holders.
The company has requested a hearing on March 17, 2021 to seek court approval for the disclosure statement and establish procedures to solicit votes on the plan.
Intelsat expects to emerge from Chapter 11 in the H2 of 2021.