Sungard Availability to Prepare Bankruptcy Filing, Sources Say
- Tech company aims to file around May 1 with creditor support
- Secured lenders would end up with around 89% of Sungard equity
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Private equity-owned Sungard Availability Services Capital Inc. is preparing a pre-arranged bankruptcy filing that would reduce its nearly $1.3 billion debt load and hand control to existing lenders in what could be the fastest court restructuring on record.
The technology company aims to file for Chapter 11 protection around May 1 with a confirmation hearing the next day, according to people with knowledge of the matter. To speed up the process, Sungard negotiated the terms of a restructuring support agreement with two creditor groups, the majority of whom support the deal, said the people, who asked not to be named because the discussions are private.