More than a dozen companies with ties to First Brands, including Carnaby Capital Holdings, filed bankruptcy petitions on Wednesday that were signed by First Brands' owner and CEO Patrick James. The affiliated entities had taken out loans that were guaranteed by First Brands, according to a person familiar with the matter.

Carnaby Capital Holdings' petition said it had more than $500 million in assets and more than $1 billion in liabilities.

First Brands did not respond to a request for comment.

The financial troubles at the auto parts supplier and the recent bankruptcy of subprime auto lender Tricolor Holdings have rattled debt investors and raised investor fears of broader stress in credit markets, according to bondholders and bankruptcy industry experts.

First Brands' advisers and bondholders have been attempting to restructure the group's $6 billion of debt in recent weeks, said the person directly familiar with the matter, who requested anonymity as the information is confidential. The source added that the talks to restructure the debt had hit an impasse.

In addition to its debt, the company has several billion dollars more in financing facilities that are tied to its customers and suppliers, the source said. Over the years, First Brands has grown through debt-financed acquisitions of rival auto parts makers.

Over the past week, First Brands' loans have plummeted in value as its bondholders have been bracing for the group's debt to be restructured. Its top-rated loans were trading at less than 50 cents on the dollar on Thursday.

Several Wall Street lenders and hedge funds, including Jefferies and Millennium, are exposed to First Brands' supplier invoice-linked facilities. Jefferies and Millennium did not immediately respond to requests for comment.

Bloomberg News reported on Thursday that First Brands was preparing to file for bankruptcy imminently, citing people familiar with the matter.