Merging With PRG, VER Will Reorganize Under Chapter 11 Bankruptcy The new entity will combine two of the biggest names in live-production services and equipment rental By Jason Dachman, Chief Editor
Thursday, April 5, 2018 - 1:05 pm
Print This Story
Story Highlights
VER has announced plans to merge with Production Resource Group (PRG) and has filed voluntary petitions for reorganization under Chapter 11 of the U.S. Bankruptcy Code in order to facilitate the prenegotiated deal. According to a letter distributed by VER CEO Digby Davies, the company has struggled recently because of an inability to service its current debt load. VER will continue operating as usual during the Chapter 11 process, and all existing productions or new projects signed on during the process will not be interrupted, according to the company's announcement.
As part of the comprehensive transaction supported by its second lien lenders, including funds managed by GSO Capital Partners, VER has entered into an agreement to merge with an entity controlled by PRG. VER's voluntary Chapter 11 petitions were made in the U.S. Bankruptcy Court for the District of Delaware. The filings affect only the company's North American operations. According to Davies, VER expects that the restructuring process will take four to six months, and the company will emerge from Chapter 11 with a new capital structure, sufficient cash to fund operations, and the ability to access capital to fund new growth initiatives.
We believe that undertaking the court-supervised restructuring process is the best course of action for VER, Davies said in the letter. Despite a record number of new clients and customer-satisfaction ratings that are highest in the industry, VER has struggled due to an inability to service its current debt load. In entering this reorganization, we have reached an agreement with our existing stakeholders to significantly reduce outstanding debt and have raised financing to provide up to $64.7 million in new liquidity to allow us to operate successfully as we undergo this exciting transition.
Until the restructuring process is complete, VER and PRG will continue to operate as two separate companies. VER clients who have on-going productions as well as new clients who sign on with the company during the process can be confident that their project will not be interrupted, according to the announcement. All employees will receive their usual wages and benefits, and VER expects to work constructively with its suppliers moving forward. Additionally, VER has already reached agreements with certain key stakeholders on the framework of its restructuring plan to expedite the Chapter 11 process.
Entering into this agreement and undertaking the court-supervised restructuring process will greatly reduce VER's outstanding debt and position the company for the merger with PRG, said Davies. The actions announced today will provide a stronger capital structure and sufficient cash to fund operations.
The new entity will combine two of the biggest names in live-production services and equipment rental in VER and PRG.
During the process, we will continue to provide our clients with the largest inventory of equipment and unmatched reliability and expertise, said Davies. Clients will work with their trusted VER representative, and their projects will not be interrupted.
In conjunction with the proposed transaction, VER has received commitments from existing lenders, including funds managed by GSO Capital Partners, for up to $364.7 million in debtor-in-possession (DIP) financing to support its continued operations during the Chapter 11 process. VER has filed a number of customary first-day motions with the Bankruptcy Court seeking authorization to continue to support its business operations during the transaction process, including authority to continue to pay wages and provide health and other employee benefits without interruption and to continue programs that support VER's service to its customers.
We are pleased to enter into this agreement with VER and partner with GSO, said Jere Harris, chairman/CEO, PRG. VER's terrific client base and vast product and service offerings are a natural complement to our business. Upon completion of the transaction, we look forward to working closely with the talented VER team to strengthen our business and deliver even greater value and service to our clients.
VER intends to pay suppliers in full under normal terms for goods and services provided after the April 5 filing date. Additional information is available on VER's website at VER.com/restructure. Court documents and additional information can be found at a dedicated website administrated by VER's claims agent, KCC, at www.kccllc.net/VER or by calling KCC at 877-634-7163 (toll-free) or 424-236-7219 (if outside of the U.S. or Canada).
Kirkland & Ellis LLP and Klehr Harrison Harvey Branzburg LLP are serving as VER's legal counsel, AlixPartners LLP as its restructuring advisor, and PJT Partners as its financial advisor. Skadden, Arps, Slate, Meagher & Flom LLP and Perella Weinberg Partners are serving as advisors to Bank of America Merrill Lynch. FTI Consulting and Morgan, Lewis & Bockius LLP are serving as advisors to GSO Capital Partners.
Most recent headlines
05/01/2027
Worlds first 802.15.4ab-UWB chip verified by Calterah and Rohde & Schwarz to be ...
06/09/2026
June 9 2026, 23:00 (PDT) Dolby and MagentaTV Bring Fans Closer to the FIFA Worl...
04/08/2026
Dalet, a leading technology and service provider for media-rich organizations, t...
04/07/2026
April 7 2026, 19:00 (PDT) Detective Conan: Fallen Angel of the Highway Opens in...
02/07/2026
Share
Copy link
Facebook
X
Linkedin
Bluesky
Email...
02/07/2026
Standalone processors acknowledged for the innovation and value they bring to Pro AV
Cobalt Digital, a leading designer and manufacturer of signal processing ...
02/07/2026
Synamedia announced today the appointment of Dr Tzvi Gerstl as Chief Executive Officer. Paul Segre, who has served as CEO for the past six years, will transitio...
02/07/2026
Screen Australia backs audience-led filmmaking with new insight-driven initiativ...
02/07/2026
Screen Australia refines guidelines for Narrative Content Development and Docume...
02/07/2026
Maxon Autograph: Introduction to working with Tables
Simon Ubsdell July 1, 2026
0 Comments
An overview of Autograph's ridiculously powerful tables...
02/07/2026
Boston Conservatory's Soir e Breaks Records to Fund Student Scholarships The event achieved 127 percent of its fundraising goal in an evening celebrating ...
02/07/2026
How Adam Rosenwach Pivoted from Music to Med Tech Without Missing a Beat What do the rehearsal room and the boardroom have in common? More than you might thin...
01/07/2026
Broadcast Management Group (BMG) has announced the appointment of Kathy Samuels ...
01/07/2026
Shade has announced Custom Objects and Automations, a platform expansion releasing June 29, 2026, that adds database and workflow automation capabilities direct...
01/07/2026
FOR-A America has announced the addition of Jaz Wray and Fernando Cruz to its U.S. sales team. Both report to Ernie Leon, Senior VP and Head of Sales and Strate...
01/07/2026
NBC Sports will air all 15 MLB games nationally on Sunday, July 5, across NBC, P...
01/07/2026
Clear-Com has announced a wireless communications upgrade for Jeopardy! and Wheel of Fortune, deploying FreeSpeak II and FreeSpeak Icon systems across both prod...
01/07/2026
England's performance team will use Sony's STATSports APEX GPS tracking system to monitor player physical data in real time during FIFA World Cup 2026 m...
01/07/2026
Adder Technology has announced the appointment of Neil Hillier as Chief Executive Officer, effective July 1, 2026. Hillier succeeds Adrian Dickens, who transiti...
01/07/2026
Bitcentral, Inc. has announced a strategic transaction creating two separate companies. The Production and Playout business will continue as Bitcentral, now own...
01/07/2026
DAZN has announced results from DAZN48, its creator initiative for the FIFA World Cup 2026. Launched in April 2026, the program received thousands of applicatio...
01/07/2026
Sarah Rose, VP, global services, Daktronics (NASDAQ: DAKT), will be inducted into the Information Display and Entertainment Association (IDEA) Hall of Fame at t...
01/07/2026
Gravity Media and the World Economic Forum's production team provided broadc...
01/07/2026
Insight Productions has announced the launch of Insight Storm, a 53-foot mobile broadcast unit built for esports production. The truck is built around a Ross Vi...
01/07/2026
ESPN has announced several content initiatives marking America's 250th anniversary, as part of The Walt Disney Company's Disney Celebrates America pro...
01/07/2026
Eleven production kits, REMI workflows, and cloud distribution bring 40 World Cu...
01/07/2026
The conference also discussed the opportunities offered an industry that is endu...
01/07/2026
The Mountain West Conference has announced the launch of MW , a direct-to-consumer streaming platform powered by Kiswe. The platform will carry live Mountain We...
01/07/2026
New AI Assistant, Multi-channel Audio, ARA2 improvements & more
Tracktion's DAW software has just received its latest major update, gaining a selection ...
01/07/2026
Stammering, stuttering, strangulated tones
The Crow Hill Company's latest creation promises to be the most original sound set they've produced to d...
01/07/2026
Exclusive run of limited-edition modelling pedals
Sweetwater and Andertons M...
01/07/2026
The National Film and Video Foundation (NFVF) is pleased to announce that the ca...
01/07/2026
Share
Copy link
Facebook
X
Linkedin
Bluesky
Email...
01/07/2026
Share
Copy link
Facebook
X
Linkedin
Bluesky
Email...
01/07/2026
Share
Copy link
Facebook
X
Linkedin
Bluesky
Email...
01/07/2026
Share
Copy link
Facebook
X
Linkedin
Bluesky
Email...
01/07/2026
Share
Copy link
Facebook
X
Linkedin
Bluesky
Email...
01/07/2026
Manfrotto Introduces UNCOVER, the new premium camera bag collection for modern h...
01/07/2026
Blackmagic Design Powers Houston Tamil Sangam Literacy Competition
Brie Clayton July 1, 2026
0 Comments
Volunteers use ATEM Mini Pro, Blackmagic Desig...
01/07/2026
Share
Copy link
Facebook
X
Linkedin
Bluesky
Email...
01/07/2026
PlayBox Technology has published State of Broadcast Infrastructure 2026, an in-depth industry research report examining the technologies, operational challenges...
01/07/2026
LONDON, UK, 1 JULY Jigsaw24 has appointed Alan Henry as Head of Sales for Media and Entertainment, reinforcing its continued investment in helping broadcaster...
01/07/2026
Content Vault, the patent-pending secure content distribution platform protecting high-value media from disclosures, theft and unauthorised access, today announ...
01/07/2026
Bitcentral, Inc. a leading provider of enterprise software and digital media solutions for news, sports and entertainment broadcasters, as well as streaming pla...
01/07/2026
Share
Copy link
Facebook
X
Linkedin
Bluesky
Email...
01/07/2026
Share
Copy link
Facebook
X
Linkedin
Bluesky
Email...
01/07/2026
Share
Copy link
Facebook
X
Linkedin
Bluesky
Email...
01/07/2026
Share
Copy link
Facebook
X
Linkedin
Bluesky
Email...
01/07/2026
Groundbreaking First Nations Screen Business Accelerator launched through nation...
Merging With PRG, VER Will Reorganize Under Chapter 11 Bankruptcy The new entity will combine two of the biggest names in live-production services and equipment rental By Jason Dachman, Chief Editor 
