Latham Represents Modivcare in Confirmed Plan of Reorganization to Restructure US$1.4 Billion of Total Debt Obligations

Latham & Watkins advised Modivcare Inc. and certain of its affiliates on the contested confirmation of their chapter 11 plan of reorganization by the US Bankruptcy Court for the Southern District of Texas. The confirmation follows a week-long contested valuation trial against the official committee of unsecured creditors, in which the company successfully defended its valuation, releases, and restructuring path. The deleveraging restructuring reduces Modivcare’s funded debt by approximately US$1.1 billion and positions the company to emerge with significantly less debt, enhanced liquidity, and a stronger capital structure for future growth.

Restructuring partners Ray C. Schrock, Keith Simon, and George Klidonas and Litigation & Trial partners Jamie Wine and Betsy Marks are leading the Latham team, complemented by Latham’s world-class liability management, corporate, healthcare, regulatory, and tax teams.