United Road Towing granted interim access to $12.5 million of DIP loan

By Caroline Salls

Pittsburgh, Feb. 8 – United Road Towing, Inc. obtained court approval to use $12.5 million of a proposed $35.25 million of debtor-in-possession financing on an interim basis, according to an order filed Tuesday with the U.S. Bankruptcy Court for the District of Delaware.

The final hearing is scheduled for March 6.

Wells Fargo Bank, NA is the administrative and collateral agent.

Interest will accrue at a rate of Libor plus 250 basis points.

The DIP facility will mature on the earliest of April 28, the closing of a sale of substantially all of the company’s assets and the effective date of any Chapter 11 plan.

United Road is a Mokena, Ill.-based towing, recovery, impound and vehicle management solutions company. The company filed bankruptcy on Feb. 6 under Chapter 11 case number 17-10249.

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