Redback Networks exited from Chapter 11 status and announced $30 million in equity funding from Technology Crossover Ventures (TCV). Redback Networks filed its financial restructuring plan on November 3, as a “pre-packaged” plan for “fast track” approval by the court. Redback has also undergone a reverse stock split to meet NASDAQ’s listing requirements and to create new shares for the debt holders. The restructuring eliminated approximately $467 million of existing debt and $44 million in annual expenses.
Redback said its financial restructuring comes at an opportune time, as the importance of DSL in the product portfolio of service providers is on the rise, and many major carriers around the world are currently contemplating their next-generation broadband DSL network architectures. http://www.redback.com
