QVC Group, Inc. — Representation of QVC Group, Inc. and its debtor affiliates (QVC) in their Chapter 11 cases in the U.S. Bankruptcy Court for the Southern District of Texas. QVC is a leading global live shopping and video commerce company, operating a portfolio of highly recognized brands, including QVC, HSN and Cornerstone. QVC commenced Chapter 11 to implement a comprehensive balance sheet restructuring transaction designed to reduce over $5 billion of its more than $8 billion in total liabilities and position the business for long-term growth. The transaction is supported by a broad consensus across the company’s key stakeholders and is anchored by a comprehensive intercompany settlement that simplifies a complex organizational structure, resolves intercompany claims and facilitates a value-maximizing restructuring. The cases are expected to result in a significantly deleveraged capital structure and enhanced financial flexibility to support QVC continued digital and omnichannel evolution.
Anthology, Inc. — Representation of Anthology, Inc. and 26 of its affiliates (Anthology) in their prearranged Chapter 11 cases in the United States Bankruptcy Court for the Southern District of Texas. Anthology is a leading provider of education technology, serving academic institutions, businesses and governments in more than eighty countries. Anthology entered Chapter 11 with the support of their prepetition lenders following an extensive prepetition marketing process for Anthology’s assets, which culminated in the execution of two asset purchase agreements with stalking horse bidders for the sale of three of Anthology’s four business segments. The prepetition lenders serving as the DIP lenders also entered into a restructuring support agreement with Anthology which provides, among other things, the funding of an approximately $100 million debtor-in-possession financing facility consisting of $50 million of new money and a $50 million “roll-up” of prepetition debt and a reorganization transaction effectuated through a Chapter 11 plan around Anthology’s remaining business segment.
Zips Car Wash, LLC — Representation of Zips Car Wash, LLC and certain of its affiliates in their prearranged Chapter 11 cases in the U.S Bankruptcy Court for the Northern District of Texas. Zips is one of the largest privately held car wash operators in the United States, with more than 260 locations across 23 states. Zips entered Chapter 11 to implement a pre-negotiated restructuring plan supported by 100% of its lenders, who hold over $650 million in debt obligations. Through the restructuring, Zips will eliminate $280 million of funded debt, shed hundreds of millions of dollars in lease liabilities and obtain $30 million in new money financing to fund the reorganized business.
Thrasio — Representation of Thrasio Holdings, Inc. and 240 of its affiliates in their prearranged Chapter 11 cases in the U.S. Bankruptcy Court for the District of New Jersey. Thrasio is the largest aggregator of Amazon brands in the world. Thrasio entered Chapter 11 with a restructuring support agreement widely supported by its lenders, and, upon exit from Chapter 11, comprehensively restructured over $3 billion of funded debt and preferred equity obligations and injected $90 million of new money financing into the go-forward business.
Rite Aid Corporation — Representation of Rite Aid Corporation (Rite Aid) and 119 of its affiliates in their Chapter 11 cases in the U.S. Bankruptcy Court for the District of New Jersey. Rite Aid entered its Chapter 11 cases with $3.45 billion in debtor-in possession financing. Following months of negotiations including court-ordered mediation with all of Rite Aid’s key stakeholders, as well as several bet-the-company disputes and obtaining an additional $75 million in debtor-in-possession financing later in the cases, Rite Aid was able to delever its balance sheet by approximately $2 billion through a recapitalization transaction with its senior secured noteholders and resolve more than $2.5 billion in pending and threatened litigation. Rite Aid emerged from Chapter 11 on August 30, 2024 with $2.975 billion in committed exit financing, a new go-forward supply contract with McKesson (Rite Aid’s largest vendor and the provider of 98% of Rite Aid’s just-in-time prescriptions), settlement agreements or controlled substance injunctive terms with the Department of Justice and 15 states in which Rite Aid conducts business, and a leaner, more efficient real estate footprint.
