MidCap to Provide $150MM Exit Financing to Erickson
MidCap agreed to provide a first lien credit facility to Erickson of up to $150 million as the global aviation services company prepares to emerge from bankruptcy protection.
MidCap agreed to provide a first lien credit facility to Erickson of up to $150 million as the global aviation services company prepares to emerge from bankruptcy protection.
Erickson, a global provider of aviation services, has opened syndicate participation in a debtor-in-possession term loan facility by eligible beneficial holders of Erickson’s 8.25% second priority senior secured promissory notes due 2020.
Erickson, a global provider of aviation services, received permission to borrow $49 million under a debtor-in-possession term loan facility on an interim basis.
Erickson has received approval from the U.S. Bankruptcy Court for the Northern District of Texas for immediate access to $49 million of DIP financing. Wells Fargo is DIP revolving agent and agent for the first lien lenders.
Erickson has voluntarily filed for relief under Chapter 11 in the U.S. Bankruptcy Court for the Northern District of Texas, Dallas Division. During the Chapter 11 process, Erickson will operate in the ordinary course of business.
Erickson entered into a 19th amendment to its credit agreement with Wells Fargo, Deutsche Bank and HSBC Bank, which modified the required level of borrowing capacity to be maintained.
The Oregonian reported that Wells Fargo is demanding that helicopter operator Erickson refinance its $140 million credit line in full by the end of August.