After filing for bankruptcy in 2014, and subsequently dissolving its supplier partnership with Apple, GT Advanced Technologies today announced its return from Chapter 11 "as a newly reorganized company." A group of unnamed financial sponsors have invested $80 million to assist in GT's emergence back into the market.
"Our emergence from Chapter 11 marks the start of a new chapter for our company," said David Keck, GTAT's President and Chief Executive Officer. "Through this process, we have resolved the issues which led to our decision to seek bankruptcy court protection. With our strengthened financial flexibility, we will focus on our industry leading capabilities in the solar and sapphire markets."
Before its Chapter 11 filing, GT was Apple's Arizona-based partner in sapphire production on the iPhone. In the weeks after the filing, Chief Operating Officer of GT Advanced, Daniel Squiller, blamed its rocky partnership with Apple as the main reason behind its bankruptcy. In an officially filed affidavit, Squiller described Apple's unquestionable control over GT's sapphire production -- and a legal contract which favored Apple -- as the culprit behind the manufacturer's inability to meet Apple's production targets, and eventual bankruptcy.
After a few more reports in late 2014, centering around what Squiller claimed was Apple's brusque response to GT's indecision over signing a contract with the Cupertino company, not much else was heard regarding GT Advanced before today. On the Apple side of things, in 2015 the company confirmed plans to take over GT's former home in Mesa, Arizona to act as a "command center" for its global data network.
In an official statement, GT Advanced thanked its customers and employees during the long restructuring process and says it looks forward to the future. "We believe GTAT is well positioned for the future," Keck said. "And we are excited about our market opportunities."
Top Rated Comments
/looks for new sucker
Keck: "Hey Daniel, you got a number for Samsung?"
Squiller: <tents fingers> "Heh heh. Great minds, David. Great minds.
Most importantly of all, don't sign an exclusivity agreement with a company that is not required to buy anything from you.