UniTek expects to emerge from Chapter 11 bankruptcy in mid-January

By Caroline Salls

Pittsburgh, Jan. 6 – UniTek Global Services, Inc. expects to emerge from Chapter 11 bankruptcy in mid-January, according to a company news release.

As previously reported, UniTek’s plan of reorganization was confirmed on Jan. 5 by the U.S. Bankruptcy Court for the District of Delaware.

“We are pleased with the court’s confirmation of our plan of reorganization and will emerge from Chapter 11 as a strong company that continually meets the needs of our customers,” chief executive officer Rocky Romanella said in the release.

Under the plan, the company’s lenders provided additional capital and liquidity to support its recapitalization, and all valid unsecured claims were either paid in full or assumed in the ordinary course of business and left unimpaired.

Additionally, UniTek said it reduced the par amount of its existing secured debt by more than 40% through a debt-for-equity swap and achieved a substantial interest rate reduction on its remaining debt.

Upon emergence, UniTek will be a private company majority owned by New Mountain Finance Corp. and entities managed by Littlejohn & Co., LLC, the release said.

UniTek, a Blue Bell, Pa.-based provider of engineering, construction management and installation fulfillment services to the telecommunications, broadband cable and satellite industries, filed for bankruptcy Nov. 3. The Chapter 11 case number is 14-12471.

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