Monitronics (dba Brinks Home Security) Files for Bankruptcy Protection

Ascent Capital Group Inc. announced that its wholly owned subsidiary, Monitronics International Inc., entered into a restructuring support agreement with its largest creditors that will eliminate approximately $885 million in debt. Monitronics operates in the market as Brinks Home Security and is ranked as No. 3 on the 2019 SDM 100.

Under the terms of the support agreement, up to approximately $685 million of debt will be converted to equity, including up to approximately $585 million of the company’s 9.125 percent senior notes due in 2020 and $100 million of the company’s term loans. The company will also receive an additional $200 million in cash from the company’s noteholders through an equity rights offering and, subject to certain conditions, from Ascent in connection with the proposed merger with Monitronics, which cash will be used to, among other things, repay remaining term loan debt.