Sungard AS New Holdings is in an early Chapter 11 posture built around a dual-track restructuring: preserve operations with DIP liquidity while testing either a section 363 sale path or an equitization path under a restructuring support agreement. The company commenced the case on April 11, 2022, when Sungard AS New Holdings filed its Chapter 11 voluntary petitionDkt. 1.
The filing followed a rapid deterioration in the debtor’s operating and capital structure. Sungard AS entered Chapter 11 as a provider of IT infrastructure, business-continuity, colocation, cloud, recovery, and workplace-recovery services, with 55 facilities across nine countries, about 585 employees in the United States and Canada, and roughly 2,001 customers. Its revenue fell from $833.4 million in 2019 to $587.3 million in 2021, while net losses increased over the same period; the company also faced about $424 million of funded debt, including first-lien term loan and revolver obligations and second-lien debt described in the Robinson first day declarationDkt. 7. The declaration identifies the March 25, 2022 UK administration of a subsidiary, driven by severe energy-price pressure, as a key near-term stressor before the U.S. filing.
The case path is creditor-supported but value-tested. Sungard AS entered Chapter 11 with a restructuring support agreement backed by holders of more than 80% of its term loans, and the restructuring framework contemplated either asset sales under section 363 or, if sale value did not clear the negotiated reserve-price construct, an equitization transaction through a Chapter 11 plan. To bridge that process, the debtors lined up $335.9 million in DIP financing, including a $50 million senior secured revolving facility and a $285.9 million senior secured multi-draw term loan facility, with immediate access to $41.15 million for the first 21 days of the cases, as set out in the .