Structurlam gets OK of DIP loan after resolving committee objection

By Sarah Lizee

Olympia, Wash., May 19 – Structurlam Mass Timber U.S., Inc. received final approval of a C$7.5 million debtor-in-possession facility from the Bank of Montreal after resolving an objection filed Wednesday by the official committee of unsecured creditors, according to an order filed Friday with the U.S. Bankruptcy Court for the District of Delaware.

Counsel for the debtor said at a Friday hearing that changes were made to the DIP budget following discussions between the debtor, DIP lender and committee.

In its objection, the committee had expressed general support for the facility but asked that the financing be modified to protect the committee’s ability to fulfill its statutory duties and the interests of general unsecured creditors.

Interest on the loan is 14% per annum, and the facility is set to mature on June 30, 2023.

The manufacturer of mass timber solutions has headquarters in Penticton, B.C. The company filed Chapter 11 bankruptcy on April 21 under case number 23-10497.

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