Venator Materials gets access to $100 million of DIP financing

By Sarah Lizee

Olympia, Wash., May 17 – Venator Materials plc received interim access to $100 million of a $275 million senior secured super-priority priming debtor-in-possession facility from its supporting creditors, according to an order filed Tuesday with the U.S. Bankruptcy Court for the Southern District of Texas.

As previously reported, the company filed bankruptcy on May 14 to implement a recapitalization plan reached with a majority of its lenders and noteholders.

The company said the agreement will equitize nearly all of its funded debt, strengthen its balance sheet and facilitate an infusion of new capital.

The company has roughly $1.14 billion of prepetition debt, including $190 million under an asset-based lending facility with J.P. Morgan Chase Bank, NA as agent, $354 million under a term loan facility with Acquiom Agency Services LLC and Seaport Loan Products LLC as agents, and $225 million in senior secured notes and $375 million in senior unsecured notes with Wilmington Trust, NA as trustee.

The DIP financing is with Wilmington Savings Fund Society, FSB as administrative agent and collateral agent of the lenders, and the company’s term loan lenders, senior secured noteholders, and senior unsecured noteholders.

The DIP facility will also provide for the roll-up of the prepetition ABL facility debt into the DIP facility.

A final hearing is scheduled for June 12.

The Woodlands, Tex.-based manufacturer and marketer of chemical products filed bankruptcy under Chapter 11 case number 23-90301.

© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere. For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.