Managed service provider TPx, formerly known as CLEC TelePacific Communications, informed U.S. Bankruptcy Court for the Southern District of Texas that it canceled the planned sale auction as part of its Chapter 11 restructuring. The MSP reported that no qualified bidders emerged by August 7, deadline after it dismissed nine bidders.
TPx will move forward with an amended restructuring support agreement and a lender‑led recapitalization. The company has already secured $73.6 million in debtor‑in‑possession financing and is working to trim its $1.1 billion debt
TPx said that its downstream sale agents are not experiencing financial impact and that partnerships will continue as normal, with commissions and other obligations being paid in the ordinary course of business.
Creditors have until August 26, to file objections to the restructuring support plan, which is scheduled for confirmation on September 2, 2026.
