Pharmed hearing for final DIP approval moved to Dec. 6; interim approval extended

By Jennifer Lanning Drey

Portland, Ore., Nov. 19 - Pharmed Group Holdings, Inc.'s hearing for final approval of its $18.25 million debtor-in-possession financing was deferred to Dec. 6 under an agreement between the company, its DIP lender Comerica Bank, and the official committee of unsecured creditors, according to a source familiar with the case.

The hearing was originally scheduled for Monday at the U.S. Bankruptcy Court for the Southern District of Florida.

Pharmed will retain interim access to the DIP facility through the hearing date. The court initially granted Pharmed interim approval of the facility on Nov. 1.

As previously reported, on Nov. 14, Pharmed's official committee of unsecured creditors objected to the DIP financing on the grounds that its sole purpose is to allow for the proposed sale of the company's PAL Laboratories for the benefit of the DIP lender.

The committee believes Pharmed will not be left with enough liquidity to complete the wind-down of its other business segments after the closing.

Pharmed, a Miami-based full-line distributor of medical, surgical and rehabilitative supplies, filed for bankruptcy on Oct. 26. Its Chapter 11 case number is 07-19187.

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