Haights Cross has ended its attempt to reorganize its finances through a private offering in which qualified investors would have exchanged discount notes for stock in the company. Haights said it terminated that offering because it failed to received the necessary commitment from notes holders. The company is now moving ahead with plans to restructure its debt on its 11 ¾ senior notes and 12 ½ senior discount notes and credit agreement. Haights hopes the restructuring will lead to lower debt payments.
The debt discussions will not affect the day-to-day operating performance of Haights’ two main subsidiaries, Recorded Books and Triumph Learning, the company said. The two companies will continue to acquire rights and publish new products, while continuing to pay vendors, licensors and employees on a timely basis, the company said. Recorded Books’ Troy Juliar said that after a restructuring earlier in 2009, Recorded Books has been hiring in such areas as Web development and IT to help build its digital programs, putting the company at about the same headcount it had before the reorganization. The number of titles is going up in 2009 to over 1,000 from 940 last year and Juliar said the number could get close to 1,200 next year.