Lumen Debt Restructuring Draws Ire From Left-Behind Creditors
- Company reached debt deal with group of Level 3 creditors
- Some creditors aren’t sure if they can participate in plan
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A proposed deal to restructure one of the largest piles of US distressed debt is drawing ire from creditors who have been left out of the transaction.
Lumen Technologies Inc., a struggling telecommunications firm with nearly $20 billion of debt, cut the deal with a group of investment firms including Silver Point Capital, Pacific Investment Management Co., Diameter Capital Partners and Blackrock Inc., according to people with knowledge of the matter who asked not to be identified because talks are private. Creditors who weren’t part of the negotiations aren’t sure if they will be allowed to participate in the restructuring, or what will happen to their debt if they can’t.