Exactech is making progress on its bankruptcy reorganization strategy and sale.

The company has filed its updated plan of reorganization with the Court, having reached an agreement with the Unsecured Creditors Committee (UCC) on a consensual blueprint to accompany the sale of its assets to a new ownership group. The Court is expected to confirm the final plan and approve the sale in early September.

The proposed plan was amended to include a new trust structure that allows general unsecured claimants, including litigation plaintiffs, to continue asserting claims through the trust as it pursues recoveries from non-debtor parties. Additionally, Exactech will receive approximately $60 million of additional financing (for approximately $150 million total), provided by Exactech’s proposed new owners, to ensure adequate funding as the company continues its business as usual operations during the proceedings.

“This agreement represents a significant milestone on the path to Court approval of our plan of reorganization and emergence under new ownership,” Exactech President/CEO Darin Johnson said. “We look forward to the Court’s approval of the sale and confirmation of the plan over the next several weeks. Throughout this process, we have continued to develop and provide high-quality medical devices for our surgeons and their patients, and we will accelerate this progress as we emerge with a stronger foundation for long-term growth in partnership with our new owners.”

After the Court confirms the final plan and approves the sale, the company’s new owners—Strategic Value Partners LLC (together with its affiliates, SVP), Stellex Capital Management LLC, and Greywolf Capital Management LP—will acquire substantially all of Exactech’s operations and assets free and clear, forming a new company.

“The UCC, in its efforts to obtain a fair recovery for claimants, appreciates the positive coordination with the new owners and management in developing a consensual plan that keeps litigation claims against certain non-debtor parties in play and, at the same time, ensures that business operations are stewarded forward under new ownership,” Unsecured Creditors Committee Counsel David Molton stated. The UCC encourages its constituents to vote in favor of the amended plan so the court proceedings can conclude.

SVP, Stellex and Greywolf collectively have $29 billion in assets under management and extensive operational expertise in the medical technology and device manufacturing industries.

Exactech is a global medical technology leader that develops implants, surgical instruments, and the Active Intelligence (AI) ecosystem of smart technologies to give patients exactly what they need to regain mobility.

SVP is a global alternative investment firm that focuses on special situations, private equity, opportunistic credit, and financing opportunities. The firm uses a combination of sourcing, financial, and operational expertise to unlock value in its portfolio companies. SVP currently manages approximately $22 billion in assets, and since inception, has invested more than $50 billion of capital, including over $18 billion in Europe. The firm, established by Victor Khosla in 2001, has 200-plus employees, including more than 100 investment professionals, across its main offices in Greenwich, Conn., and London, and a presence in Tokyo.

With offices in New York, Pittsburgh, Detroit, and London, Stellex Capital is a private equity firm with more than $3.9 billion in assets under management. Stellex seeks to identify and deploy capital in opportunities that stand to benefit from its operationally focused and hands-on approach to investing. Portfolio companies are supported by Stellex’s industry knowledge, operating capabilities, network of senior executives, strategic insights, and access to capital.

Founded in 2003, Greywolf Capital Management LP is a registered investment adviser with more than $3 billion in assets under management allocated across its Distressed/Special Situations, CLO Credit, and Hard Asset Strategies. Its team of 32 includes 14 dedicated investment professionals. Greywolf combines expertise with time-tested portfolio management skills to offer attractive, risk-adjusted returns over the long-term with little correlation to the broad based markets.