SunEdison Inc. (OTC PINK: SUNEQ) said June 10 that it has received final bankruptcy court approval of debtor-in-possession (DIP) financing in the form of new capital totaling up to $300 million provided by a consortium of first and second lien lenders.
These financial resources will be made available to the company under the terms of the DIP Credit Agreement to support its continuing business operations, minimize disruption to its worldwide projects and partnerships, and make necessary operational changes.
SunEdison and certain of its domestic and international subsidiaries filed voluntary petitions for reorganization under chapter 11 in the U.S. Bankruptcy Court for theSouthern District of New York on April 21, 2016.
Said the June 9 court order: “Good cause has been shown for entry of this Final Order. An immediate need exists for the DIP Loan Parties to obtain funds and liquidity in order to, as the case may be, continue operations, to pay the costs and expenses of administering the Chapter 11 Cases, and to administer and preserve the value of their businesses and estates. The ability of the DIP Loan Parties to finance their operations, to preserve and maintain the value of their assets and to maximize the return for all creditors requires the availability of the DIP Facilities and the use of Cash Collateral. In the absence of the availability of such funds and liquidity in accordance with the terms hereof, the continued operation of the DIP Loan Parties’ businesses would not be possible, and serious and irreparable harm to the Debtors and their estates and creditors would occur. Thus, the ability of the DIP Loan Parties to preserve and maintain the value of their assets and maximize the return for creditors requires the availability of working capital from the DIP Facilities and the use of Cash Collateral.”
SunEdison develops, finances, installs, owns and operates renewable power plants, delivering predictably priced electricity to its residential, commercial, government and utility customers. The company is one of the leading renewable energy asset managers and provides customers with asset management, operations and maintenance, monitoring and reporting services. Corporate headquarters are in the United States with additional offices around the world.