Aspect Software receives debtholder support for restructuring plan

By Sheri Kasprzak

New York, April 12 – Aspect Software, Inc. has received the support of most of its debtholders for a restructuring plan that could reduce its debt by more than $320 million, according to a statement from the company.

The restructuring plan has received 100% support from the company’s first-lien secured lenders and 80% support from its second-lien secured lenders.

Aspect also received support from Angel Island Capital, an existing stakeholder that has agreed to invest new capital and continue as an equity holder in Aspect during its reorganization.

Also part of its restructuring plan, all trade debt will be paid in full.

“Overwhelming support for the restructuring will facilitate an expedited exit from the restructuring process,” said the statement.

The transaction, according to Aspect, will eliminate $320 million of debt and provide new capital.

“Importantly, it continues to be business as usual for Aspect’s customers, partners and employees,” said Stew Bloom, Aspect’s chairman and chief executive officer, in a statement.

“Since we entered the plan of restructuring process, we have won new multimillion dollar customer contracts, added new talent and progressed our strategic product initiatives. Further, Aspect continues to operate with strong levels of liquidity during the reorganization process.”

Aspect received court approval at the beginning of April to access up to $30 million of debtor-in-possession financing from some first-lien claim holders. Interest on the facility is Libor plus 975 basis points with a 1% Libor floor.

Based in Phoenix, Aspect is a cloud provider of fully integrated consumer engagement, workforce optimization and back-office solutions. The company filed for Chapter 11 protection on March 9 in the U.S. Bankruptcy Court for the District of Delaware under case number 16-10597.

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