Fusion, a leading provider of integrated technology solutions, today announced that the Company, along with each of its U.S. subsidiaries, has emerged from Chapter 11 bankruptcy protection, successfully completing its financial restructuring process and implementing its plan of reorganization (the "Plan"), which was confirmed by the U.S. Bankruptcy Court for the Southern District of New York on December 17, 2019.
Approximately $400 million of the Company's indebtedness was eliminated in the reorganization. Fusion emerges from this process as a much stronger company, with a sustainable capital structure to support its future growth plans and to continue to serve customers with a comprehensive portfolio of solutions well into the future. Fusion's balance sheet has been strengthened through a $115 million exit financing loan provided by a subset of the Company's first lien lenders.
"We are very pleased to be emerging from our restructuring expeditiously as planned," said Kevin Brand, President, Chief Operating Officer, and Interim Chief Executive Officer. "I greatly appreciate the support of Fusion's dedicated employees throughout this process. We have worked closely with our customers and partners as well and look forward to building on our pipeline and increasing sales as we emerge. We plan to continue our momentum as we enter the next chapter in our history, and I look forward to working with the entire Fusion team to find additional ways to deliver value for our customers. I'm confident that the future is bright for Fusion."
In connection with the Company's emergence, a new Board, consisting of the following individuals, has been appointed:
- Timothy J. Bernlohr – Founder and Managing Member, TJB Management Consulting, LLC
- Kevin Brand – Interim Chief Executive Officer; President and Chief Operating Officer
- Andy Fishman – Managing Director, Vector Capital
- Wayne Rehberger – Director, QTS Realty Trust
- Dudley R. Slater – Industry Advisor, EQT
- Paul H. Sunu – Former Chief Executive Officer, FairPoint Communications
- Ilya Voytov – Head of Research, Credit Strategy, Vector Capital
Mr. Brand continued, "This process represented a collaborative and solutions-oriented partnership with our creditors through which Fusion has achieved a more sustainable capital structure. We are proud to have the support of our former lenders, who are now Fusion's new owners, and Fusion is even better positioned to deliver our comprehensive portfolio of innovative single-source technology solutions while providing strong support for our customers and partners."
A copy of the Confirmation Order and associated Plan can be found in the Current Report on Form 8-K filed with the Securities and Exchange Commission on December 27, 2019. Information about the bankruptcy cases can be found by visiting https://cases.primeclerk.com/Fusion.
About Fusion
Fusion, a leading provider of integrated technology solutions, is the single source for communications, managed network and cloud services. Fusion's advanced, proprietary services platform and national footprint enable the integration of leading-edge solutions, including Unified Communications, SD-WAN and Connectivity for businesses of all sizes, regardless of location. Our innovative, yet proven technology solutions lower our customers' cost of ownership and deliver new levels of security, flexibility, scalability and speed of deployment. For more information, please visit www.fusionconnect.com.
