Magnetic Resonance Development Company Emerges From Chapter 11 Reorganization

Pryor Cashman represented the principal investors in the successful Chapter 11 reorganization of WaveGuide Corporation, a Massachusetts-based company involved in the research and development of hand-held micro-nuclear magnetic resonance (µNMR) technology platforms for both health care and industrial settings.  The reorganization plan, approved by the United States Bankruptcy Court in Boston, involved the raising of more than $3.5 million in new equity financing.  The principal investors provided debtor-in-possession (DIP) and exit financing necessary to allow the company to complete the reorganization process. The company emerged from bankruptcy protection on November 14, 2018, just five months after filing its voluntary Chapter 11 petition.  Partners Richard Levy, Jr., co-chair of the firm's Bankruptcy and Reorganization Practice Group, and Lawrence A. Spector, a member of the firm's Corporate Practice Group, led the firm's team in this engagement.