Catalina Marketing Corp., a data and marketing services provider to retailers and consumer products companies, filed for bankruptcy on Tuesday for the second time with a prepackaged plan to slash debt and sell its business in Japan, WSJ Pro Bankruptcy reported. Catalina has suffered from a decline in demand for its services in recent years, including during the Covid-19 pandemic when most retailers were forced to close their doors, according to a court filing yesterday by Chief Financial Officer Michael Huffmaster. The company filed for chapter 11 protection with a deal in hand to sell its Japanese business to a buyer backed by a Japanese private-equity firm for $103 million and to restructure its U.S. business by reducing its $370 million in debt, according to the filing. The St. Petersburg, Fla.-based company has garnered the support of nearly all creditors to cut $260 million in debt and will seek to exit bankruptcy within just over two months, court papers show. A restructuring plan has already been put to a vote of creditors, with ballots due on April 11. The company slashed even more debt, $1.6 billion, when it last filed for bankruptcy in 2018, but the business faced unexpected headwinds since then, according to Mr. Huffmaster.
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