Phoenix Coyotes NHL team owners secure $17 million in DIP financing

By Caroline Salls

Pittsburgh, May 6 - The owners of the Phoenix Coyotes National Hockey League team have requested court approval of a $17 million debtor-in-possession facility from S&E Interim Facility Corp., according to a Tuesday filing with the U.S. Bankruptcy Court for the District of Arizona.

As previously reported, the bankruptcy filing was made by Dewey Ranch Hockey, LLC and affiliates Arena Management Group, LLC, Coyotes Holdings, LLC and Coyotes Hockey, LLC.

The owners are seeking interim access to $2 million of the DIP financing.

The facility will mature on the earliest of June 30, upon the sale of substantially all of Coyotes Hockey's assets, the effective date of a plan of reorganization and upon conversion or dismissal of the bankruptcy cases.

Interest will be 7%.

Proceeds will be used to fund the debtors' short-term operating needs pending completion of the proposed sale of the team.

The team owners filed for bankruptcy on May 5. The case is being jointly administered under the Dewey Ranch Hockey case, number 09-09488.

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