Northstar Obtains Extension of DIP Financing
Northstar Aerospace, Inc. announced that it has obtained an amendment to the debtor-in-possession (DIP) financing with its senior and junior DIP lenders to extend the maturity date of the related financings through August 24, 2012.
As previously announced, Northstar entered into an asset purchase agreement with Heligear Acquisition Co. (as U.S. Purchaser) and Heligear Canada Acquisition Corporation (as Canadian Purchaser), each affiliates of Wynnchurch Capital, Ltd., which provides for the sale of substantially all of the operating assets of Northstar, together with the assumption of certain liabilities, subject to customary adjustments. Northstar continues to work with the purchasers to accomplish a closing of the transaction as soon as possible after the satisfaction or waiver of all conditions precedent to the closing. Based on the anticipated amount of the proceeds from the sale, it is expected that there will be insufficient proceeds to fully repay Northstar’s secured lenders.
Northstar Aerospace, Inc. is an independent manufacturer of flight critical gears and transmissions.
Previously on abfjournal.com: