Grandparents.com filed a voluntary petition for relief under Chapter 11 of the U.S. Bankruptcy Code in the Southern District of Florida (Miami Division. As a result of the restructuring, the company expects to be acquired by its secured lender, VP Funding, and emerge as a financially stronger company with a sustainable capital structure.

As a part of the restructuring, the company secured from its bank group, led by VB Funding, a $1.57 million debtor-in-possession loan to provide the company with the necessary operating funds during the restructuring process.

“We have been working diligently with our senior lender to arrange for a timely restructuring of Grandparents.com. Through the reorganization process, we will continue to operate business as usual. We firmly believe that the reorganization actions announced today will allow Grandparents.com to become a financially stable company with a solid foundation necessary to continue the pursuit of our strategic initiatives,” said Joshua Rizack, from The Rising Group Consulting, the company’s CRO.

Grandparents.com is a membership organization and social media community, connecting grandparents, seniors and boomers to differentiated, discounted products and services.