In a dramatic turn for the telecom financing sector, Carriox Capital II LLC and BB Capital SPV LLC, two affiliates of Carriox Capital, have filed for Chapter 11 bankruptcy protection in New York. The filings, lodged late Monday, reveal staggering liabilities ranging between $500 million and $1 billion, underscoring the depth of the financial turmoil engulfing the company.
The move follows in the footsteps of five other Carriox affiliates, which sought bankruptcy protection in August — signaling a systemic collapse within the financing network that once powered telecommunications carriers and infrastructure firms.
A Crumbling Network of Financial Support
According to previous filings, Carriox specialized in factoring and invoice financing, a critical lifeline for telecom carriers and cell tower companies. By purchasing receivables, the firm allowed its clients to access immediate cash flow — until its own liquidity pipeline began to dry up.
Court documents indicate that the earlier bankruptcies were triggered after secured lenders placed the affiliates in default in July, a move that sent ripples through the company’s tightly woven financial structure. The latest filings suggest that Carriox’s entire financing web is now unraveling under mounting debt and lender pressure.
