Telecoms contractor QualTek emerges from bankruptcy

QualTek Services

15/07/2023 24:26

July 14 (Reuters) - Telecommunications and power
contractor QualTek Services said on Friday that it has emerged
from bankruptcy after it reduced its debt by about $307 million
through a restructuring deal.
    QualTek filed for bankruptcy in May this year armed with a
restructuring agreement to cut its debt and provide $40 million
of new loans to fund its post-bankruptcy operations.
    The telecom company will operate as a privately-held company
under the ownership of its lenders and management. Its shares
are no longer publicly traded.
    The company will be led by the existing management team
alongside a newly-formed board. 
    QualTek went public through a special purposes acquisition
vehicle (SPAC) deal in February 2022, just before the Federal
Reserve began raising interest rates in an effort to curb
inflation in the U.S. economy.

 (Reporting by Lavanya Ahire in Bengaluru, editing by Deepa
Babington)
 ((LavanyaSushil.Ahire@thomsonreuters.com;))