Windstream eyes exclusivity extension ahead of confirmation hearing

By Caroline Salls

Pittsburgh, June 8 – Windstream Holdings, Inc. is seeking an extension of its exclusive periods for filing and soliciting votes on a Chapter 11 plan, according to a motion filed Friday with the U.S. Bankruptcy Court for the Southern District of New York.

The company is asking the court to extend its exclusive filing period through Aug. 25 and the solicitation period through Oct. 24.

“After months of effort, the debtors have set these cases on a clear path to a successful resolution and emergence from Chapter 11,” the motion said.

Windstream said it obtained court approval of a settlement with Uniti on May 12 that will bring $1.225 billion of net present value to its estates and resolve global issues regarding its business relationship with Uniti.

In addition, the company said it obtained court approval of the disclosure statement for its amended Chapter 11 plan, has begun to solicit votes on the plan and secured financial support for its restructuring under a backstop commitment agreement that includes up to $750 million in new equity financing through a rights offering.

Despite this progress, Windstream said the current exclusive filing period is scheduled to expire on June 22, two days before the plan confirmation hearing.

“Out of an abundance of caution, the debtors believe it is prudent to seek the maximum remaining statutory extension of the exclusivity periods...as the debtors continue to press toward confirmation and emergence from Chapter 11.”

A hearing is scheduled for June 18.

Windstream is a Little Rock, Ark., telecommunications provider. The company filed bankruptcy on Feb. 25, 2019 under Chapter 11 case number 19-22312.

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