Restructuring Update from Ascend Performance Materials
Marks important milestone in restructuring process; Ascend to begin creditor vote solicitation process
Remains on track to emerge from Chapter 11 in Q4 2025
Continues to operate as usual and provide high-performance materials to customers
HOUSTON — Ascend Performance Materials, a prominent producer of durable engineered materials for essential applications and emerging technologies, has received court approval for its Disclosure Statement relating to its Plan of Reorganization. This approval by the U.S. Bankruptcy Court for the Southern District of Texas marks a significant step forward in the company's restructuring endeavors.
The Disclosure Statement is crucial as it provides creditors with detailed insights into the terms of Ascend's Plan, paving the way for the formal process to solicit votes. Ballots will be distributed to eligible creditors, and the voting deadline is set for a specific time in late November. After this process, a court hearing will take place to validate the Plan's confirmation.
Phil McDivitt, president and CEO of Ascend Performance Materials, stated, "Our aim has always been to fortify Ascend’s financial base to ensure sustained growth and stability. Achieving court approval is a key milestone on that journey. I appreciate our customers' unwavering trust and our employees for their relentless efforts. This teamwork positions Ascend for a robust return, ready to provide exceptional materials for years to come."
A new investor consortium is backing these efforts, pledging over $500 million in fresh equity capital. A spokesperson for the consortium expressed confidence in Ascend’s future, stating, "We are eager to support Ascend's significant deleveraging and contribute to its long-term growth. We foresee a bright outlook for the company, and we look forward to collaborating to deliver top-notch materials to customers going forward."
Further Insights on the Restructuring Process
To learn more about Ascend's restructuring, stakeholders can monitor the ongoing developments on Ascend's website. Key details, including Bankruptcy Court filings and additional case information, will also be made available.
Ascend engages different advisors to navigate this restructuring phase. Kirkland & Ellis LLP serves as legal counsel, while FTI Consulting offers financial advice alongside PJT Partners as investment banker. The term loan lenders backing the company have enlisted Gibson, Dunn & Crutcher LLP and Evercore Group L.L.C. for their respective advisory services.
About Ascend Performance Materials
Ascend Performance Materials specializes in crafting high-performance materials that cater to daily needs and emerging technologies. Our mission focuses on enhancing quality of life and driving innovation for a better future. Headquartered in Houston, Texas, with regional offices in Shanghai, Brussels, and Detroit, Ascend stands as a fully integrated solutions provider. Our global footprint includes manufacturing facilities across North America, Europe, and Asia, using our diverse workforce to create materials that enhance safety in vehicles, promote cleaner energy solutions, support advanced medical devices, and improve consumer goods durability. We are committed to prioritizing safety, sustainability, and the success of our customers and the communities we serve.
Frequently Asked Questions
What is Ascend's current status in the restructuring process?
Ascend has received court approval for the Disclosure Statement concerning its Plan of Reorganization, marking a significant move forward in the restructuring.
When is the voting deadline for creditors regarding the Plan?
The voting deadline for creditors to participate in the solicitation process is set for late November.
What is Ascend's outlook post-restructuring?
Ascend aims to emerge from Chapter 11 in the fourth quarter of 2025 with a stronger financial foundation which will support its long-term growth and stability.
Who is supporting Ascend during the restructuring?
A consortium of new investors is backing Ascend with over $500 million in equity capital as it moves to deleverage and secure its future.
What are the core areas Ascend focuses on?
Ascend specializes in providing high-performance materials for essential products across various industries, emphasizing sustainability and innovation.
