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(Reuters) – Air Methods, a non-public equity-owned medical helicopter firm, mentioned on Thursday it has emerged from chapter practically two months after it filed for Chapter 11 chapter safety.
The restructuring course of minimize about $1.7 billion of the corporate’s debt, Air Methods mentioned. The agency entered chapter with debt of about $2.24 billion.
The enterprise had suffered as a consequence of rising rates of interest, increased labor prices and a current U.S. ban on “surprise” medical payments, that are usually despatched to sufferers who unwittingly obtain transportation companies or therapy from an out-of-network supplier, regardless of visiting a hospital or different medical facility that’s in-network for his or her insurance coverage.
Lenders and noteholders of the corporate now personal Air Methods, in response to the phrases of the reorganization. Some of the brand new homeowners are injecting about $185 million into the corporate, Air Methods mentioned.
The firm offers air medical companies by way of its fleet of 365 medical helicopters and fixed-wing plane.
Air Methods was acquired by non-public fairness agency American Securities in 2017.
