Altisource Modernizes Balance Sheet with Restructuring
Deal News | Mar 11, 2025 | Paul Hastings
Altisource Portfolio Solutions S.A. has successfully engaged in a complex liability management transaction. The transaction included the exchange of its $232.8 million term loans into $160 million of new first-lien term loans with an extended maturity, alongside the issuance of 58.2 million new common shares. This initiative was conducted under the advisement of Paul Hastings LLP. An additional super-senior credit facility was established, further showcasing Altisource's capacity to rally complete lender consent and necessary shareholder approvals, marking a precedent in public company recapitalization efforts. The advise provided by Paul Hastings came from a strong team of partners and counselors specializing in finance, restructuring, and capital markets.
Sectors
- Finance & Restructuring
- Real Estate & Mortgage
- Legal Services
Geography
- Luxembourg – Altisource Portfolio Solutions S.A. is based in Luxembourg, reflecting the company's registration country.
- United States of America – Paul Hastings LLP operates from the USA, indicating the geographic location of the advisory team.
Industry
- Finance & Restructuring – The article highlights a major restructuring transaction, where existing loans were exchanged for new term loans, an area typically involving complex financial solutions.
- Real Estate & Mortgage – Altisource is a key player in the real estate and mortgage industries, making these sectors relevant to the restructuring.
- Legal Services – Paul Hastings LLP, a legal advisory firm, played a crucial role in guiding the transaction, illustrating the legal complexities involved.
Financials
- $232.8 million – The amount of existing term loans exchanged during the restructuring.
- $160 million – The value of new first-lien term loans issued in the restructuring.
- 58.2 million – Number of common shares issued as part of the restructuring.
Participants
| Name | Role | Type | Description |
|---|---|---|---|
| Altisource Portfolio Solutions S.A. | Target Company | Company | A leading provider and marketplace for the real estate and mortgage industries. |
| Paul Hastings LLP | Legal Advisor | Company | A law firm that advised Altisource on its recent liability management transactions. |
| Alex Cota | Finance and Restructuring Partner | Person | Led the Paul Hastings team in the advisory role for Altisource. |
| Max Kirchner | Capital Markets Partner | Person | A key partner at Paul Hastings contributing to the transaction. |
| Existing Lenders and Shareholders | Counterparty in the Transaction | Company | They acted as counterparties in the credit facility and share issuance. |