Riverbed|Aternity announces the accomplishment of its recapitalization

Riverbed|Aternity has completed its recapitalization, decreasing debt by over $1 billion and bringing in $100 million in new cash, putting the company in a strong position for long-term growth and success. An expedited voluntary court-supervised recapitalization process was used to accomplish the recapitalization.

“We are pleased to have completed our recapitalization on an accelerated timeline, significantly simplifying our balance sheet and positioning Riverbed|Aternity for a new phase of sustained growth and success,” said Dan Smoot, President and CEO of Riverbed|Aternity.

He added,  “The future of the workplace is digital and hybrid, and we look forward to discussing our evolving strategy as we ensure Riverbed|Aternity is best positioned to capitalize on new market opportunities and deliver disruptive innovations for our customers. We appreciate the support of our customers and business partners throughout this process, and we thank our talented team for their continued focus and hard work.”

Mr. Smoot continued, “We are also grateful to our investors for their trust and guidance throughout this process. Their confidence in our company is a testament to the quality of our business model, solutions, and team, and has enabled us to finalize our recapitalization quickly and efficiently. We look forward to having them onboard as our strategic partners moving forward.”

“Riverbed|Aternity is an industry leader and through this recapitalization has a stronger financial position to invest in core technologies, continuously improve the customer experience and pursue profitable growth,” said Apollo Partner Chris Lahoud. “We’re pleased to support the Company as a long-term investor and to see Dan lead this great team in its next chapter.” 

The company is a crucial technology provider that provides premier end-to-end visibility, network performance, and acceleration solutions that provide actionable information and help businesses maximise their productivity and digital and IT expenditures. Total bookings for the Company’s visibility products increased 37 percent year over year in the most recent quarter. Riverbed|Aternity will be able to spend more in the business and innovation to better fulfil the demands of consumers and empower their success with a stronger financial base.

An ad hoc group of institutional investors led by Apollo (the “Ad Hoc Group”) has become the majority owner of Riverbed through their managed funds, as previously disclosed and concomitant with the emergence.

Riverbed’s advisors include legal counsel Kirkland & Ellis LLP, restructuring advisor AlixPartners, and investment banker GLC Advisors & Co.

White & Case LLP is the legal counsel for the Ad Hoc Group, and Centerview Partners is the financial advisor. Certain members of the Ad Hoc Group are represented by Davis Polk & Wardwell LLP.