Get 40% Off
⚠ Earnings Alert! Which stocks are poised to surge?
See the stocks on our ProPicks radar. These strategies gained 19.7% year-to-date.
Unlock full list

Air Methods exits bankruptcy with $1.7 billion less debt

Published 12/28/2023, 03:31 PM
Updated 12/28/2023, 03:35 PM
© Reuters.

(Reuters) - Air Methods, a private equity-owned medical helicopter company, said on Thursday it has emerged from bankruptcy nearly two months after it filed for Chapter 11 bankruptcy protection.

The restructuring process cut about $1.7 billion of the company's debt, Air Methods said. The firm entered bankruptcy with debt of about $2.24 billion.

The business had suffered due to rising interest rates, higher labor costs and a recent U.S. ban on "surprise" medical bills, which are typically sent to patients who unwittingly receive transportation services or treatment from an out-of-network provider, despite visiting a hospital or other medical facility that is in-network for their insurance.

Lenders and noteholders of the company now own Air Methods, according to the terms of the reorganization. Some of the new owners are injecting about $185 million into the company, Air Methods said.

The company provides air medical services through its fleet of 365 medical helicopters and fixed-wing aircraft.

Air Methods was acquired by private equity firm American Securities in 2017.

Latest comments

no dipozit
Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.