Cano Health, Inc. is a reorganized debtor in the back-end of estate administration, with its chapter 11 cases now centered on claims reconciliation and litigation-trust oversight in the District of Delaware. The Miami-based value-based primary care platform filed for chapter 11 on February 4, 2024 under a pre-negotiated Restructuring Support Agreement (Voluntary PetitionDkt. 1), carrying approximately $1.3 billion in funded debt after Medicare Advantage rate compression and medical loss ratios above 100% drove operating losses exceeding $490 million in the third quarter of 2023 alone.
On the petition date the debtors reported only about $8 million in total cash and moved immediately for combined postpetition financing and cash-collateral authority to stabilize operations (DIP and Cash Collateral MotionDkt. 16), supported by first-day declarations detailing the need to preserve continuity of care for nearly one million patients (First Day Declaration of Clayton GringDkt. 15). That financing track culminated in a $150 million new-money DIP term loan facility with priming liens that carried the enterprise through a compressed five-month restructuring, and the debtors reached confirmation on June 28, 2024 when the court entered its confirmation order (Confirmation OrderDkt. 1148); the plan became effective the same day.
The confirmed plan reorganized the capital structure around approximately $468.5 million in First Lien Claims, which received the entirety of the reorganized equity alongside 1L Exit Facility loans, while the $150 million DIP facility converted into an exit facility carrying up to $50 million in new delayed-draw term loans (). A Litigation Trust funded and managed by META Advisors LLC was established to pursue causes of action for the benefit of general unsecured creditors, and management equity was reallocated through a 10% Management Incentive Plan. Cano Health emerged as a private company with a contracted footprint of 83 medical centers and roughly 2,500 employees, having exited operations in California, Illinois, New Mexico, and Puerto Rico.
Post-emergence activity is now administrative. In May 2026 the court sustained the debtors' Fourth Omnibus substantive claims objection, disallowing no-liability and cross-debtor duplicate claims and reclassifying overstated priority and administrative assertions to general unsecured (Fourth Omnibus Claims Objection OrderDkt. 1656), and the court extended the period for the reorganized debtors and the Litigation Trust to remove civil actions through August 28, 2026 (Seventh Removal Extension OrderDkt. 1658). A May 29, 2026 omnibus hearing was cancelled after the pending matters resolved by order (Hearing AgendaDkt. 1659), and the next omnibus hearing is set for August 13, 2026 (Certification Regarding Omnibus HearingDkt. 1666).
