Carbon Health Technologies Inc., a California-based urgent care provider that once rode the telehealth surge of the pandemic era, has sought shelter in Chapter 11 bankruptcy protection in Texas, listing more than $100 million in liabilities.
The filing, made Monday, marks a pivotal moment for the health technology company, which operates more than 100 locations nationwide and provides both in-person and virtual care.
Restructuring Plan Backed by Lenders
In a news release, Carbon Health said it has struck a comprehensive restructuring agreement with its lenders. The company intends to pursue a dual-track strategy: a debt-for-equity swap alongside a Chapter 11 sale process.
Chief Executive Officer Kerem Ozkay described the move as deliberate and necessary.
“The decisive actions we are taking today will strengthen our financial foundation and better position Carbon Health to advance our mission of making high-quality healthcare accessible to everyone,” Ozkay said. He added that the company has received strong backing from its lenders, which he said will allow the case to proceed efficiently and with minimal disruption to patients, partners and employees.
The company has secured up to $19.5 million in debtor-in-possession financing from Future Solutions Investments to fund operations during the bankruptcy proceedings.
