Rubio’s gets final court approval to access $8 million DIP term loan

By Sarah Lizee

Olympia, Wash., Dec. 2 – Rubio’s Restaurants, Inc. obtained court approval to access an $8 million super-priority secured debtor-in-possession term loan, according to a final order filed Tuesday in the U.S. Bankruptcy Court for the District of Delaware.

Golub Capital Markets LLC is the administrative agent for the DIP loan, as previously reported.

The loan would mature on the earliest of Dec. 31, the plan effective date, and the date written notice is sent from the administrative agent of the occurrence of a termination date.

Proceeds will be used for working capital and other general corporate purposes.

Interest will be paid in cash at Libor plus 750 basis points, subject to a Libor floor of 1.25%, and in kind at an incremental 4%.

There is a $90,000 closing fee on the DIP loan.

The debtors also obtained final approval to access to the cash collateral of the prebankruptcy secured lenders, including Golub as administrative agent.

Rubio’s Restaurants is fast casual restaurant chain based in Carlsbad, Calif. The company filed bankruptcy on Oct. 26 under Chapter 11 case number 20-12688.

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