Anchor BanCorp Gets Court Nod for Chapter 11 Reorganization
Anchor BanCorp Wisconsin said U.S. Bankruptcy Court Judge Robert Martin approved its recently announced plan of reorganization.
“This was an important step for AnchorBank to move forward with its recapitalization effort,” said Chris Bauer, AnchorBank president and CEO. “We still have work to do, but we are pleased to have this milestone behind us.”
On August 13, Anchor BanCorp announced its holding company had entered into definitive stock purchase agreements with a number of institutional and private investors as part of a $175 million recapitalization of the institution. At the same time, it filed a voluntary petition under Chapter 11 in the United States Bankruptcy Court for the Western District of Wisconsin to implement a “pre-packaged” plan of reorganization to restructure it and recapitalize its wholly owned subsidiary, AnchorBank, fsb.
“It is important for our customers, employees and the community to remember that AnchorBank, which operates separately from the Holding Company, is not a part of the Chapter 11 process. The Chapter 11 filing includes only the Holding Company and does not affect AnchorBank, its people, or its services,” said Chris Bauer, AnchorBank President & CEO. “It continues to be business as usual at the Bank, and we are thankful for the opportunity to continue serving our customers.”