Azzur Group, a key service provider to FDA-regulated pharmaceutical and biotech companies, has secured $23.5 million in debtor-in-possession (DIP) financing from M&T Bank to support ongoing operations as it navigates Chapter 11 bankruptcy proceedings.
The financing will provide liquidity to sustain business continuity while Azzur moves forward with the sale of its consulting division to ELIQUENT Life Sciences for $56 million. The deal, structured under Section 363 of the U.S. Bankruptcy Code, positions ELIQUENT as the stalking horse bidder, allowing for competing offers during the court-supervised process.
The DIP financing, pending court approval, will ensure uninterrupted operations, including the payment of employee wages and ongoing client engagements. “This funding is critical in maintaining stability during the sale process,” said Azzur Group CEO Michael Khavinson. “It allows us to continue serving our clients and supporting our employees with minimal disruption.”
Azzur Group, which also operates its Cleanrooms-on-Demand (COD) business, will continue marketing that division as part of its broader restructuring efforts. The company cited significant post-pandemic investments in COD as a key factor in its strategic shift.
Interested parties can find additional information about the sale and restructuring process at Stretto’s case website.
