GCX begins emergence from bankruptcy
Global Cloud Xchange (GCX) confirms that its non-regulated businesses have successfully emerged from the Chapter 11 process.
The regulated businesses, which make up the majority of the global network and operations, are due to come out of bankruptcy later this year once it has received regulatory approval.
“I, along with the rest of the GCX management team, am looking forward to the completion of our financial restructuring process so we can fully focus on our strategic direction and future opportunities,” said Rory Cole (pictured), Interim CEO of GCX.
“We are completing this process having achieved all of the objectives we set out, well positioned to build on our strategic plan and become even more competitive in our industry. GCX is emerging as a leading provider of network services in one of the fastest growing markets in the world that is seeing significant growth in the demand for data services. We are emerging with a strong business, ready to capitalise on this growth and the exciting opportunities ahead.”
The news follows the company’s reorganisation plans announced back in December, that was approved by the United States Bankruptcy Court for the District of Delaware.
Under the terms of the proposed plan, which was first announced on 15 September 2019 with support from more than 75% of the company's lenders, GCX will also reduce debt by $150 million and access new working capital.
Once completed the reorganisation plan will position GCX with a stronger capital structure with reduced debt, and access to new working capital that can support its long-term growth.
In addition, GCX has appointed new boards of directors for the newly incorporated holding company and principle operating company upon emergence from bankruptcy.
The board is chaired by Jim Ousley and includes Anja Blumert, Alan Carr and Chris Mallon.