Following plans to file for Chapter 11 bankruptcy, Envision Healthcare reached a restructuring agreement with its stakeholders.
Under the agreement, AmSurg and Envision Physician Services will be separately owned by their lenders, Envision said in a May 15 news release. AmSurg will buy ASCs held by Envision for $300 million plus a waiver of loans.
Envision's debt — excluding a revolving credit facility for working capital — will be equitized or canceled. Pending approval, Envision will use cash collateral to fund operating expenses during restructuring.
Envision plans to file for bankruptcy after battling high labor costs and has about $7 billion of debt.