SalemBridge Adds New DIP Financing Program for Distressed Companies in Chapter 11 Bankruptcy

November 28, 2017

 

SalemBridge is proud to announce the launch of its new DIP Financing program specifically for borrowers in need of working capital or prepping for a sale of assets that are involved in court-approved turnaround financing situations in Chapter 11 Bankruptcies. SalemBridge has forged new relationships with several financial institutions that provide creative new-money DIP products and loans for small and lower middle market companies with rates generally ranging from LIBOR 3-12%, depending on the borrower’s situation, size and overall risk.

The program comes equipped with convertible and non-convertible options with terms generally encompassing 1-2 years max, and loan amounts ranging from low as $100,000 to as high as $100,000,000. SalemBridge can also arrange subordinated Junior DIP financing in conjunction with new-money DIP financing, or as a stand-alone facility to compliment existing senior DIP debt already provided by existing pre-petition creditors so that the distressed company can carry out its turnaround objectives with the appropriate amount of capital.

This is a significant product for companies in need of liquidity that are seeking new-money DIP Financing that have not already been provided by pre-petition creditors or other outside investors.