BenefitStreet Restructuring is Moving Right Along

May 5, 2008 ( - BenefitStreet, Inc. revealed that key bridge financing has been committed to the company and it is now negotiating terms to secure an additional $10 to $20 million in longer-term funding.

According to the announcement, stockholders approved a capital restructuring within the organization. Jerry Bramlett, BenefitStreet’s President and CEO, said he is in ongoing discussions with a number of parties interested in the long-term funding.

In early April, the company announced the sell of one of its third party administrator (TPA) subsidiaries, and announced plans to sell its remaining TPAs (See BenefitStreet Begins Shedding TPAs ). Bramlett said the company was streamlining to focus on what it does best – defined contribution retirement plan recordkeeping.

In the current announcement, Bramlett said all of the TPAs are under a Letter of Intent to close by May 30.

In February, Bramlett took the reins of BenefitStreet from Alex Hehmeyer, a board member since 2004 who had been acting as interim CEO and Chairman after the sudden departure of firm founder and CEO Jim Drury in 2007 (See Bramlett to Lead BenefitStreet ).