Dutch cable colossus United Pan-Europe Communications is filing for bankruptcy protection in America and the Netherlands under a complex restructuring scheme.
Like UK operators NTL and Telewest [see story below], UPC is trying to relieve its Himalayan debt burden by swapping it for shares.
The plans involve exchanging €7.5 billion ($7.4bn; £4.7bn) in bonds and convertible preference shares for new equity, wiping out 65% of UPC’s total debt and giving it around €110 million in new funds from parent United GlobalCom (76%-owned by US cable group Liberty Media).
UPC insists it has “sufficient resources” to finance it through the scheme.
Data sourced from: Financial Times; additional content by WARC staff