Situation
A private equity portfolio company operating as a regional newspaper publisher was under structural pressure from digital disruption. The company was significantly over-leveraged, and a growing lender group was raising serious concerns about covenant compliance and long-term viability.
Problem
Without a restructuring, the company faced formal bankruptcy proceedings, a path that would have destroyed residual asset value, triggered costly legal processes, and damaged lender relationships. The company needed to right-size its cost structure, restructure its obligations, and execute an ownership transition simultaneously and under significant time pressure.
Actions
Led cost restructuring and direct lender negotiations to stabilize the business and find a viable path forward. Built the financial case for restructuring, worked through scenarios with the lender group, and structured an ownership transition that preserved asset value and avoided formal insolvency proceedings.
Outcome
Successfully negotiated a complex debt restructuring, orchestrated a clean ownership transition, preserved underlying asset value, and averted formal bankruptcy, protecting both the portfolio and lender relationships.