Xplore completes CBCA recapitalization and restructures satellite business through RVO

Goodmans LLP acted as Canadian legal counsel to Xplore Inc. in connection with its recapitalization, restructuring, financing, regulatory, governance and business initiatives, including its review of strategic options and alternatives that culminated in the successful completion of a comprehensive recapitalization and investment transaction (the “Recapitalization Transaction”) pursuant to a plan of arrangement (the “Arrangement”) under the Canada Business Corporations Act (the “CBCA”).

The Recapitalization Transaction restructured Xplore’s C$1.8 billion in secured debt obligations and enabled Xplore to access C$600 million of new debt and equity financing.

The restructuring was implemented through a plan of arrangement under the CBCA that included the first ever reverse vesting order (“RVO”) in a CBCA arrangement, the granting of a contested interim order, and extensive judicial consideration of the permitted scope of CBCA debt restructurings. Xplore also successfully restructured its satellite capacity leases as part of the CBCA arrangement transaction.

Xplore Inc. is a privately-held Canadian telecommunications company with more than 1,000 employees across Canada. Completion of the Recapitalization Transaction was critical to maintaining internet service for subscribers in rural and remote regions across all provinces and territories of Canada.