(Bloomberg) -- Wheel Pros LLC entered into a forbearance agreement with some debtholders, according to people with knowledge of the efforts, after the company last week elected to skip interest payments on some of its debt.
The customized wheel maker is huddling with lenders and its private equity owner Clearlake Capital Group in an effort to work through its liquidity needs and revamp its balance sheet, said the people, who asked not to be identified discussing a private matter.
A representative with the company, which announced a rebranding to Hoonigan last year, declined to comment. Messages left with Clearlake were not returned.
The company’s problems stem from working capital needs, inflationary pressure and reduced demand for its goods, Bloomberg previously reported.
Its more than $1.1 billion loan maturing in 2028 is quoted at around 80 cents on the dollar, according to data compiled by Bloomberg.
The latest round of negotiations comes after Wheel Pros raised $235 million in September in a controversial deal that favored certain creditors over others.
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