Speech recognition technology developer M*Modal has filed for Chapter 11 bankruptcy protection in a New York court.
The company said it expects to use the Chapter 11 process to align its debt structure with its vision, strategy, and operations to better position the firm for long-term success. M*Modal remains in discussions with its lenders and bondholders on the terms of a consensual financial restructuring plan, and the firm's worldwide operations are expected to continue in the normal course throughout the restructuring process.
The voluntary petitions for relief under Chapter 11 of the U.S. bankruptcy code were filed in the U.S. Bankruptcy Court for the Southern District of New York. M*Modal expects that its cash on hand, combined with funds generated from ongoing operations, will provide sufficient liquidity to continue operating in the ordinary course throughout this process.
