Lenders to Learfield, a multimedia and marketing provider to college sports teams, have engaged restructuring attorneys as the company faces more than $1 billion of debt coming due this year, WSJ Pro Bankruptcy reported. A group of lenders to Plano, Texas-based Learfield has engaged law firm Paul Weiss Rifkind Wharton & Garrison LLP, while the company is being advised by Kirkland & Ellis LLP. Learfield won’t be able to repay all its debts coming due this year based on its current cash balance and expected negative cash flow, S&P Global Ratings said in a report on the company last week. The ratings firm downgraded Learfield deeper into junk territory, saying that a distressed exchange or restructuring is likely over the next six months. Learfield didn’t immediately respond to a request for comment Wednesday. Paul Weiss and Kirkland also didn’t immediately respond. Learfield struggled during the coronavirus pandemic as many universities canceled sporting events, forcing the firm to try to renegotiate multimedia contracts.
