Signal National LLC

Signal National and its affiliates are pursuing a Chapter 11 wind-down supported by court-approved financing and cash collateral. The final financing order Dkt. 364 requires a plan and disclosure statement by November 21, 2026; a hearing on the proposed Miami condo sale is set for November 23, according to the continued hearing notice Dkt. 435.

Signal National and its affiliates are pursuing a Chapter 11 wind-down, with authority to borrow up to $10 million and use cash collateral under the October 6 final financing order Dkt. 364. The facility is a commitment subject to borrowing conditions, and the order requires the debtors to file a plan and disclosure statement by November 21, 2026.

The debtors’ proposed path is to preserve servicing operations, sell assets where advantageous, resolve claims and litigation, and transfer remaining long-duration assets and causes of action to a liquidating trust. Their first-day declaration Dkt. 14 says higher financing costs, operating disruptions, collateral disputes, regulatory action and loss of external capital drove distress and a prepetition wind-down. A creditor’s July 2026 involuntary petition against an affiliate accelerated the coordinated Chapter 11 filings on August 9, 2026.

Approximately $3,156,085,003.89 of debt is identified across 23 instruments, including debt beyond the debtor entities; this is not a total of the debtors’ funded debt. The financing motion Dkt. 11 and cash collateral motion Dkt. 12 describe the underlying facilities.

A hearing on the proposed private sale of a Miami condominium is scheduled for November 23, 2026, under the continued hearing notice Dkt. 435. The unsecured creditors’ committee supports the proposed $2.95 million sale and escrow of net proceeds, while opposing A-CAP’s request for direct payment or a credit bid and disputing its asserted lien and claim, as set out in the committee’s reply Dkt. 453. On November 6, the court separately denied Advantage Capital Holdings’ stay-relief motion without prejudice Dkt. 445.