Cyxtera has announced that it has received approvals from the U.S. Bankruptcy Court for the district of New Jersey for its ‘first day’ motions related to the company’s voluntary Chapter 11 petitions filed on June 4, 2023.
The court granted interim approval to access up to $54 million of the $200 million in debtor-in-possession financing from certain of its term lenders. In addition, it obtained interim and final approvals from the court for other first day motions that enable the company to continue:
- Paying all employee wages, salaries and benefits
- Paying vendors and suppliers in full for goods and services provided on or after the filing date of June 4, 2023
- Operating its global platform of highly interconnected data centres normally, without interruption.
Nelson Fonseca, Cyxtera’s Chief Executive Officer, says, “These approvals ensure that we can continue meeting our business obligations and providing our customers with uninterrupted innovative services and the highest levels of support. As we continue building on our recent business momentum and high demand for our data centre platform, we are concurrently moving forward on our path to pursue new growth opportunities. I thank our customers and business partners for their continued support and all of our employees for their unwavering focus on helping our customers around the world transform and scale their businesses.”