Partnered with Bank of America to provide an aggregate $400MM senior secured ABL revolver covered by inventory and A/R.
GHOST TREE SOLUTION
- $350MM revolver, $15MM Middle-Out loan, $35MM Last-Out loan
- Prepayment Premium: Greater of make-whole or 3% through Y3, par thereafter
- Borrowing Base: eligible A/R plus eligible inventory
FOCUS ON DOWNSIDE PROTECTION
Hard-asset-backed loan underwritten to liquidation value, not restructured going-concern value.
Loan structured to be same voting class as the first-out revolver ensuring alignment with Bank of America.
MULTIPLE PATHS TO EXIT
Normal-course refinancing, going-concern Chapter 11 refinancing, Chapter 7 liquidation.
Conservative Net Orderly Liquidation Value with significant reserves built into borrowing base.
Issued as a performing loan despite the existence of a distressing cash flow loan due to an enhanced priority claim.
National retailer chain providing an assortment of unique imported furniture, home décor, and tableware.