Integrated Electrical Services (IES), Houston, announced that it and all of its domestic subsidiaries have emerged from bankruptcy. The company filed for protection under Chapter 11 about three months ago.
IES, one of the nation's largest electrical contractors, said the reorganization plan calls for the exchange of $173 million of senior subordinated notes into 82 percent of the reorganized company's stock.
“I am extremely proud that we were able to exit Chapter 11 so quickly and have emerged from this process stronger and more competitive,” said Byron Snyder, IES chairman, president and chief executive.
As part of the reorganization, IES will refinance $50 million in senior convertible notes with the proceeds of a new term loan.
The company will also convert outstanding common shares into about 15 percent of the new IES common stock and issue to management 3 percent of the new IES common stock as restricted shares.
IES owns Key Electrical Supply, an electrical distributor in Houston.