Walter Energy Said to Be Negotiating Bankruptcy as Soon as This Month
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Walter Energy Inc. is negotiating a debt restructuring with senior lenders that may put the unprofitable coal producer into bankruptcy as soon as this month, according to two people with knowledge of the discussions.
The coal miner, which rejected earlier proposals sent by creditors, is expected to send a revised plan to first-lien lenders, including Blackstone Group LP’s credit arm, Franklin Resources Inc. and Cyrus Capital Partners, that includes a request for a debtor-in-possession loan that would allow the company to operate while in bankruptcy, said the people, who requested not to be identified because the talks are private.