NBG Home gets access to $10 million of new money under DIP loan

By Sarah Lizee

Olympia, Wash., Feb. 10 – Nielsen & Bainbridge, LLC, which does business as NBG Home, received interim approval to access $10 million of $30 million in new money under a debtor-in-possession facility, according to an order filed Friday with the U.S. Bankruptcy Court for the Southern District of Texas.

As previously reported, the company has entered into a restructuring support agreement and stalking horse agreement with lenders holding the majority of its debt, comprised of credit funds and accounts managed by KKR Credit Advisors (US) LLC and funds managed by Silver Point Capital, LP.

Under the agreement, the company lined up a $60 million DIP facility via KKR and Silver Point. The facility consists of the $30 million in new money and a $30 million rollup of prepetition loans.

The DIP facility matures in two months and bears interest at SOFR plus 1,000 basis points, payable in kind and subject to a SOFR floor of 1%. Default interest would be an additional 2% above the interest rate.

There is a PIK commitment premium of 5% on the new money.

A final hearing is scheduled for March 1.

The home decor company is based in Austin, Tex. The company filed bankruptcy on Feb. 8 under Chapter 11 case number 23-90071.

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