Private Equity Backed Sungard Availability Files for Bankruptcy

Sungard Availability Services Capital Inc. set a record for the fastest U.S. bankruptcy with a pre-negotiated plan in place to slash its debt load and hand control to a new set of owners.

The technology company filed for Chapter 11 protection May 1 in U.S. Bankruptcy Court in White Plains, New York, listing $1.4 billion of liabilities and $496 million of assets. Less than 20 hours after the filing Judge Robert Drain approved the reorganization plan which will allow Sungard to reduce its debt by about two-thirds as it continues to operate.

With support from a majority of its creditors, ...