Brightline, the higher speed rail line that serves South and Central Florida, is close to filing a Chapter 11 bankruptcy petition in an effort to restructure an estimated $1.1 billion in corporate debt, according to Bloomberg, citing people familiar with the situation.
The filing would not disrupt the Miami-based company’s daily operations, which offers regional train service at stations in downtown Miami, Aventura, Fort Lauderdale, Boca Raton, West Palm Beach and Orlando.
Bloomberg previously reported that the company reached an agreement last month with Assured Guaranty for at least $350 million in new loans.
A Brightline spokesman did not immediately respond to an emailed request for comment Wednesday from the South Florida Sun Sentinel.
Bloomberg also reported that a group of hedge funds holding Brightline’s corporate bonds is in discussions with the Fortress Investment Group-backed railroad.
This is a developing story, so check back for updates. Click here to have breaking news alerts sent directly to your inbox.