Arnold & Porter announced that Brian J. Lohan has joined the firm as a Partner in the Bankruptcy and Restructuring practice. He will practice out of the firm's Chicago and New York offices. Lohan focuses his nationally-based practice on corporate reorganizations, bankruptcy and insolvency. He has significant experience handling a wide range of bankruptcy cases including representation of Chapter 11 debtors, noteholders, bondholders, senior lenders and other creditor constituencies. His work has included a number of high-profile restructurings across a variety of industries including telecommunications, technology and transportation. In 2017, Lohan was selected to the American Bankruptcy Institute's inaugural "40 under 40" list. Most recently he was awarded with the International Law Office 2018 Client Choice Award for "excellent client care." Lohan earned his JD from Northwestern School of Law and BS from DePaul University.
Orion Healthcorp filed with the U.S. Bankruptcy Court a motion for authority to obtain credit, under Section 364(b), Rule 4001(c) or (d), in addition to motion to the Company's motion to use cash collateral and scheduling a final hearing. The motion explains, "By this Motion, the Debtors are seeking, inter alia: (a) authorization for the Debtors to obtain senior secured postpetition financing consisting of a revolving credit facility in a principal amount of up to $7,500,000 (the 'DIP Facility') in accordance with the DIP Credit Agreement among (i) Orion Healthcorp, as borrower; (ii) the other Debtors, as guarantors thereto; (iii) New York Network Management, Network Management Insurance Brokerage Services, New York Network IPA, (IPA 1), New York Premier IPA (IPA 2), Brooklyn Medical Systems IPA (IPA 3), Brooklyn Medical Systems IPA (IPA 4), and Brooklyn Medical Systems IPA 5 (IPA 5), collectively, NYNM; (iv) Bank of America as administrative agent (the 'D.I.P. Agent'), and (v) the lenders from time to time party thereto, the 'DIP Lenders' and collectively with the DIP Agent and providers of hedge products and treasury management services secured by the DIP Collateral, the 'DIP Secured Parties'; (b) authorization for the Debtors to obtain from the DIP Lenders, during the interim period pending the Final Hearing, up to $4,500,000 (the 'Interim Amount') in accordance with the DIP Credit Agreement and the Interim Order…authorization for the Debtors to obtain from the DIP Lenders upon entry of the Final Order total advances in an amount not to exceed a maximum outstanding principal amount of $7,500,000 (the 'Total Commitment') in accordance with the DIP Credit Agreement, the DIP Documents, and the Final Order, which Total Commitment includes the amount necessary to repay the Bridge Loan Obligations."
Weinstein Company Holdings filed with the U.S. Bankruptcy Court a motion for entry of orders approving bidding procedures for the sale of substantially all of the Debtors' assets; approving stalking horse bid protections; scheduling an auction for and hearing to approve the sale of substantially all of the Debtors' assets; approving form and manner of notices of the sale, auction and sale hearing and approving the sale of substantially all of the Debtors' assets free and clear of all liens, claims, interests and encumbrances. The motion explains, "The bidders received 2 bids by the March 8, 2018 bid deadline. The highest and best 'final bid' (the 'Lantern Bid') was submitted by Lantern Entertainment LLC (the 'Stalking Horse Bidder'), an affiliate of Lantern Capital, which sought to acquire substantially all of the Assets for a purchase price of $310 million in cash (subject to certain adjustments) (the 'Cash Purchase Price'), payment of the Cure Amounts required to be paid at closing of the Sale (with the Cash Purchase Price, the 'Aggregate Purchase Price') and the assumption of certain liabilities (with the Aggregate Purchase Price, the 'Stalking Horse Purchase Price')….By this Motion, the Debtors request authority to, among other things, provide the Stalking Horse Bidder with standard stalking horse protections, in particular (a) the payment of a break-up fee in an amount equal to 3% of the Cash Purchase Price (i.e., $9,300,000) and (b) reimbursement in an amount up to 2% of the Cash Purchase Price (i.e., $6,200,000) for reasonable and documented out-of-pocket costs, fees and expenses of the Stalking Horse Bidder (including reasonable expenses of legal, financial advisory, accounting and other similar costs, fees and expenses and all filing fees under the HSR Act) related to the transactions contemplated by the Stalking Horse Agreement (the 'Expense Reimbursement', and together with the Break-Up Fee, collectively the 'Stalking Horse Protections')." The following dates are proposed: bid deadline - April 30, 2018; hearing to consider approval of the bidding procedures - April 3, 2018; deadline to object to the stalking horse bidder and the sale - April 30, 2018; auction - May 2, 2018; deadline to object to auction and sale - May 3, 2018; sale hearing - May 4,2018. The Court scheduled an April 6, 2018 hearing to consider the sale and procedures motion, with objections due by April 3, 2018.
The U.S. Bankruptcy Court approved, on an interim basis, Claire's Stores' post-petition financing motion. As previously reported "The Debtors request for a $135 million DIP Financing facility, comprised of (a) a senior secured multiple-draw asset-based revolving credit facility in an aggregate principal amount of up to $75 million and (b) a senior secured 'last-out' term loan facility in an aggregate principal amount of up to $60 million, of which up to $30 million will be borrowed on an interim draw." The Court scheduled an April 19, 2018 hearing to consider final approval.
Ezra Holdings filed with the U.S. Bankruptcy Court a monthly operating report for February 2018. For the month, the consolidated Debtors reported a net loss of $1.7 million on $1.5 million in net revenue and paid $3,245 in depreciation/depletion/amortization. Cash at the beginning of February 2018 was $7.8 million and $7.1 million at month's end.