Global Motorsport granted final approval to obtain $3.5 million DIP facility from Ableco

By Jennifer Lanning Drey

Portland, Ore., Feb. 20 - Global Motorsport Group, Inc. was granted final court approval to obtain $3.5 million of debtor-in-possession financing from Ableco Finance LLC, as agent for lender Styx Partners LP, according to an attorney.

The approval came Wednesday from the U.S. Bankruptcy Court for the District of Delaware and was granted after the company and its official committee of unsecured creditors resolved issues related to the financing that had been raised by the committee earlier in the week, the attorney said.

The DIP facility will mature on March 13.

Interest will accrue at the Reference Bank rate plus 100 basis points.

As previously reported, Global Motorsport was granted interim access to $2.5 million of the $3.5 million financing on Feb. 1.

Global Motorsport, a Morgan Hill, Calif.-based wholesale distributor of aftermarket motorcycle parts and accessories, filed for bankruptcy on Jan. 31. Its Chapter 11 case number is 08-10192.

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