J.G. Wentworth successfully completed its reorganization in coordination with its lenders. The company emerged from Chapter 11 with a new revolving credit facility of $70 million supplied by HPS Investment Partners and the elimination of $440.5 million of outstanding debt.

The company restructured through a joint prepackaged Chapter 11 plan of reorganization which was confirmed by the U.S. Bankruptcy Court for the District of Delaware. The company continued operations without interruption throughout the brief, in-court restructuring process.

The company estimates that its debt service will be reduced from $32 million to approximately $5 million annually, and that its net leverage will be reduced from approximately 12.4x to 1.0x as a result of the reorganization. By deleveraging its balance sheet, the company has emerged from the restructuring process with enhanced financial flexibility and the ability to accelerate its long-term growth initiatives.

“Today, we have reached the final milestone in the restructuring process,” said Stewart A. Stockdale, CEO. “The company has emerged stronger and more financially secure, allowing us flexibility to execute our business goals, focusing on growth and expansion, and to continue serving our customers’ needs.”

The company will retain its leadership team which remains committed to delivering financial solutions that can meet a number of consumer needs.

J.G. Wentworth is focused on providing direct-to-consumer access to financing solutions through a variety of avenues, including: mortgage lending and refinancing, structured settlement, annuity and lottery payment purchasing, prepaid cards and access to providers of personal loans.