Vesta Holdings gets requested further interim access to DIP loan

Chicago, Nov. 9 – Vesta Holdings, LLC received interim approval to obtain a $37.88 million debtor-in-possession facility, according to an order filed with the U.S. Bankruptcy Court for the District of Delaware after a hearing on Wednesday.

As previously reported, of the DIP facility’s amount, $12.63 million is new money and the rest is a roll-up.

The facility is available immediately to the debtor and the company may have access to the additional $6.6 million it had requested earlier in the week. The $6.6 million broke down into $2.2 million of new money and $4.4 million from the roll-up. The company had previously received access to $6.31 million of the new money and $12.63 million of the roll-up.

The DIP loan is being funded by Colbeck Strategic Lending Offshore Mini-Master AIV, LP and Colbeck Strategic Lending II Master, L.P., and CION Investment Corp.

Alter Domus is the administrative agent.

The agent and lenders will be granted superpriority administrative expense claims in the Chapter 11 cases.

The facility will mature 130 days after the petition date and bear interest at adjusted term SOFR for the one-month interest period then in effect plus 1,000 basis points. There is a 5% DIP commitment fee.

Vesta also may continue to use its cash collateral.

A final hearing is set for Dec. 6.

The Montgomeryville, Pa.-based wealth advisory, risk management services and insurance brokerage services company filed bankruptcy on Oct. 30 under Chapter 11 case number 22-11019.

© 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.