APC Automotive Technologies LLC, a car-parts supplier founded in 1927, has filed for bankruptcy with plans to hand ownership to lenders including Apollo Global Management Inc., the <em>Wall Street Journal</em> reported. The Littleton, Colo., business sought protection from creditors Wednesday after entering into a restructuring agreement with 74 percent of its term loan lenders that will help it cut $290 million of its more than $430 million in debt. A forbearance period with lenders had ended on Monday. The private-equity-backed company in November had amended its term loan agreement with parties including Apollo, BlackRock Capital Investment Corp. and CBAM Partners, according to a document filed in U.S. Bankruptcy Court in Wilmington, Del. APC has been troubled for years by rising prices for palladium and other materials. Tariffs and customer consolidation have also hurt its business. Most recently, the coronavirus pandemic has worsened the company’s business outlook. Mines have been being shut down, making it difficult to get supplies and raising the company’s costs. Demand for auto parts has declined, and “government lockdowns and employee infections” have hindered APC’s ability to make and distribute its products, interim Chief Financial Officer Marc Weinsweig said in a declaration filed with the court.
