Envision Healthcare Corp, the medical group backed by KKR & Co, has filed for Chapter 11 bankruptcy protection, according to reports.
The Nashville-based physicians provider has assets and liabilities of roughly $1 billion to $10 billion each, according to a court filing.
Envision said it has reached a restructuring support agreement for debt obligations of about $7.7 billion that will spin off its AMSURG unit, which manages ambulatory surgery centers.
Specifically, AMSURG will buy surgery centers held by the company for $300 million, and intercompany loans held by AMSURG will be waived.
The company's debt, save for a revolving credit facility, will be canceled, deleveraging about $5.6 billion.
Shares of KKR were near flat Monday morning at $48.50.
Contact Andrew Kessel at andrew.kessel@proactiveinvestors.com
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