Lake Forest-based InSight Health Services Holdings Corp. said Wednesday that it has emerged from bankruptcy protection as a private company with new ownership.
The medical imaging company said that it eliminated nearly $300 million of debt due this year through its bankruptcy filing.
Earlier, Chief Executive Kip Hallman said the reorganization would leave InSight “effectively debt-free, which is a really nice place to be.”
InSight, which operates in more than 30 states and has yearly revenue of about $200 million, filed for bankruptcy protection in December, the second time it had done so since 2007.
Black Diamond Capital Management LLC, a Lake Forest, Ill.-based firm with more than $5 billion in assets, is InSight’s new majority owner.
Hallman had said that InSight’s bondholders were set to own 100% of the company, which will be privately held. Previously, InSight’s shares were lightly traded on the low-profile Pink Sheets stock exchange.
InSight also said it got a $17.5 million line of credit from New York-based Healthcare Finance Group LLC and plans to use it for working capital.
