CHALLENGE

The organization faced operational inefficiencies, excessive overhead, and complex funding structures across multiple entities, necessitating decisive action to restore stability and prepare for post-bankruptcy recapitalization.

The company required immediate financial oversight to manage cash flow, streamline operations, and expedite the bankruptcy process. The organization:

• Needed an Interim CFO to provide guidance and stability throughout Chapter 11.
• Required management of Debtor-in-Possession (DIP) funding and daily operational liquidity.
• Faced the challenge of amalgamating holding, acquisition, and DIP entities into a single, viable company.
• Needed to plan and execute post-amalgamation recapitalization to ensure long-term viability.

OUR ROLE

ETONIEN was engaged to provide interim CFO leadership to manage Chapter 11 bankruptcy proceedings, operational consolidation, and post-emergence recapitalization.

SOLUTIONS

ETONIEN’s Interim CFO was tasked with:

• Managing DIP funding and ensuring compliance with court-approved protocols.
• Overseeing the amalgamation of multiple entities into a single operating structure.
• Eliminating underperforming facilities and contracts to reduce costs and improve profitability.
• Preparing the organization for post-bankruptcy recapitalization and long-term financial stability.

OUTCOME

• Reduced operating expenses by 35% through contract rejection and operational streamlining.
• Negotiated post-amalgamation funding, securing financial continuity and investor confidence.
• Developed and implemented a comprehensive financial reporting and monitoring system, establishing transparency and accountability across the new organization.