Bankrupt Exela Unit Strikes Creditor Deal to Exit Chapter 11

DocuData Solutions, a bankrupt unit of software firm Exela Technologies Inc., reached a settlement with secured noteholders and junior creditors following negotiations.

The unit and other bankrupt affiliates agreed on a restructuring plan with a committee representing unsecured creditors and a group of senior secured noteholders, as well as Exela Chairman Par Chadha, according to a notice filed Monday in the US Bankruptcy Court for the Southern District of Texas.

Under the settlement, general unsecured creditors would share a $4.75 million cash pool and receive payments in three installments over 27 months, in addition to 4% annual interest paid in-kind. ...