Adeptus Health declares bankruptcy

Adeptus Health, an Irving, Texas-based operator of freestanding emergency rooms, has filed for Chapter 7 bankruptcy, according to the Dallas Business Journal.

In its Dec. 18 bankruptcy petition, the company listed debts of about $278.2 million and assets of nearly $6.8 million. Companies typically use Chapter 7 bankruptcy to liquidate assets to satisfy creditor claims. 

The company filed an initial public offering in 2015, and its stock price hit $100 within a year, according to the report. However, amid a significant decline in the company's earnings, Adeptus filed for Chapter 11 bankruptcy in 2017. At that time, the company attributed the filing to strained finances as a result of rapidly expanding its facility footprint. 

Adeptus collaborated with New York City-based hedge fund Deerfield Management on a restructuring plan. According to the Chapter 7 petition, Deerfield is Adeptus' largest creditor with an outstanding claim of more than $209.9 million. 

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