E-discovery, information governance and data recovery company KLDiscovery has cited concerns over its future as it faces a major debt repayment in June 2024. In its 2023 Form 10-K filed with the SEC, KLDiscovery projected that it will not be able to make an upcoming repayment in excess of $260 million, which it said "raises substantial doubt about our ability to continue as a going concern."

The report, however, also highlighted the company's record revenues and growth in its businesses and client base over the past year. "Coming off record revenue in 2023, we believe our investments in technology, operational efficiency, and client-delivery position KLD well for the future and that our 2023 results demonstrate the strength of our underlying business," KLDiscovery's chief operating officer Danny Zambito told Legaltech News in an email. "We are working diligently on strategies to address the capital structure and will disclose to the market the results of this effort consistent with our public company reporting requirements."

Experts told Legaltech News that KLDiscovery's situation is unique in the e-discovery market, and that it is unlikely the company's debt problems will force it to close altogether. "What I don't think will happen is any sort of liquidation, dissolution, any of that—this business is worth more to everybody alive than it is dead," said a financial consultant who focuses on the legal tech industry.