Travelport Debt Plan Wins Support; Ch. 11 Averted

Travelport’s lenders agreed to the restructuring of its debt, so the company’s contingency Chapter 11 plan has been shelved.

Travelport Ltd., which operates the GDS business, said parent company Travelport Holdings Ltd. obtained the consent of its lenders to amended terms for its unsecured payment-in-kind (PIK) term loans. The revised terms include extending the loans’ maturity date from March 27, 2012, to Dec. 1, 2016.

Travelport Holdings received unanimous support from all lenders of its PIK term loans.

‘Confidence in our vision’
“We believe this support reflects the strength of our business and the confidence in our vision for the future of the company,” Gordon Wilson, president and chief executive officer of Travelport Ltd., said in a statement.

“With the consents obtained, Travelport Ltd. will continue to have the financial flexibility to execute our growth strategy.” 

Holders of Travelport Ltd.’s senior secured credit agreement also consented to certain amendments in connection with the proposed restructuring. The amendments were approved by lenders holding more than 99% in aggregate principal of outstanding loans.