Instant Brands, a houseware and appliance manufacturer with brands like Pyrex and Instant Pot, received a commitment for an additional $30 million in new term loan financing from its existing lenders, increasing the amount of the company’s term loan credit facility to $162.5 million.
Instant Brands, a houseware and appliance manufacturer with brands like Pyrex and Instant Pot, received a commitment for an additional $30 million in new term loan financing from its existing lenders, increasing the amount of the company’s term loan credit facility to $162.5 million. This additional term loan financing, along with an existing $125 million asset-based lending financing and cash generated from the company’s operations, is expected to provide liquidity to fund operations.
In June, Instant Brands and certain of its affiliates filed voluntary petitions for reorganization under Chapter 11 of the U.S. Bankruptcy Code in the U.S. Bankruptcy Court for the Southern District of Texas. In connection with the court-supervised process, Instant Brands received a commitment for $132.5 million in new debtor-in-possession financing from its existing lenders. Days later, the bankruptcy court authorized Instant Brands, on an interim basis, to access and use financing from its existing lenders provided under a $125 million debtor-in-possession asset-based revolving credit facility and a $132.5 million debtor-in-possession term loan credit facility,
“We are making important progress in our court-supervised process, and the commitment for additional financing reflects our lenders’ confidence in our business and our ability to achieve a successful outcome,” Ben Gadbois, president and CEO of Instant Brands, said. “We remain focused on ensuring the continued success of our great brands for all of our consumers around the world. We thank our great employees across the globe, as well as our suppliers, retailers, financing partners and all of our advisors for their continued support for Instant Brands.”
Davis Polk & Wardwell is serving as Instant Brands’ legal counsel, while Guggenheim Securities is serving as its investment banker and AlixPartners is serving as its restructuring advisor.
