Red River Waste’s alternative DIP financing approved by court

By Sarah Lizee

Olympia, Wash., Feb. 17 – Red River Waste Solutions, LP’s motion seeking court approval to enter into $2.25 million of alternative debtor-in-possession financing from Euclid Investments Funding I LLC was approved on Thursday by the U.S. Bankruptcy Court for the Northern District of Texas, according to an order.

Interest is the base rate plus 800 basis points per annum.

The facility is scheduled to mature on June 30.

As previously reported, the company previously sought approval to enter into a $2.8 million DIP term loan facility from SummitBridge National Investments VIII LLC but later filed a motion seeking to replace the SummitBridge financing with the alternative financing from Euclid.

SummitBridge objected to the alternative financing motion and said the court had previously approved a $100,000 breakup fee in the event alternative DIP financing was approved before SummitBridge’s financing was.

Thursday’s order overruled any objections that hadn’t previously been withdrawn.

The Dripping Springs, Tex.-based waste management company filed bankruptcy on Oct. 14 under Chapter 11 case number 21-42423.

© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere. For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.