Peter Brant’s White Birch filed for Chapter 11 bankruptcy in Virginia:
White Birch is seeking debtor-in-possession financing of $140 million and is using Lazard Ltd. as a financial adviser. White Birch said it will remain in business.
According to Debtwire, Greenwich-based Black Diamond Capital is the main vulture-investor hedge fund holding White Birch debt, and in November the trade publication reported White Birch was working on a restructuring agreement with Credit Suisse, which is the agent for the company’s $653 million syndicated credit facility. A spokesperson for White Birch says the debtor-in-possession loan is expected to come from existing first lien creditors.
The Debtwire story also said there was a $22 million dividend payment made by White Birch to equity holders four months before it missed a $18 million interest payment.
White Birch Files for Chapter 11 (NewTimes.com)
