Edgio Inc. has filed for Chapter 11 bankruptcy protection after a challenging year of leadership changes, financial struggles and job cuts for the Phoenix-based streaming services technology company.
Edgio on Sept. 9 filed a voluntary Chapter 11 petition in the U.S. Bankruptcy Court for the District of Delaware, paving the way for a sale of the company's assets that would allow it to remain in business under new ownership, according to a regulatory filing.
Edgio has entered into a “stalking horse” purchase agreement with its primary lender, Lynrock Lake Master Fund LP, which has agreed to acquire some of the company’s assets via a credit bid of $110 million, the regulatory filing shows.
In addition, Edgio plans to utilize the Chapter 11 process to secure additional offers for its assets, some of which include its applications and security suite, Uplynk platform and enterprise delivery network that serves nearly 1,000 customers. Prior to its bankruptcy filing, Edgio had engaged in discussions with a number of companies regarding potential sale of all or part of its assets.
