According to the U.S. Bankruptcy Court docket, the Court approved GT Advanced Technologies’ (GTAT) motion or an order approving procedures for the solicitation of Company noteholders to participate in debtor-in-possession financing.
As previously reported, “On March 18, 2015, the Court held a hearing on the Commitment Letter Motion. At the hearing, the Court granted the Commitment Letter Motion, but requested that the Debtors submit a further revised proposed order incorporating certain modifications that resolve the objections of the Committee and the U.S. Trustee. On March 19, 2015, GTAT submitted a further revised proposed order that reflected these modifications….Pursuant to the Commitment Letter; the Backstop Lenders required that Other Pre-Petition Convertible Noteholders (meaning Pre-Petition Convertible Noteholders that are not Backstop Lenders) would be given an opportunity to participate as Lenders in the DIP Loans. Accordingly, Other Pre-Petition Convertible Noteholders are to be given the opportunity to subscribe for a portion of DIP Loans pursuant to procedures reasonably acceptable to the Backstop Lenders and the Borrower.”
Court-filed documents continue, “GTAT believes that it is in the best interests of their estates to offer all Other PrePetition Convertible Noteholders the opportunity to participate in the Proposed Financing….GTAT plans to provide the Other Pre-Petition Convertible Noteholders a period of 20 days from the commencement of the Solicitation to review the solicitation materials and determine whether to participate in the Proposed Financing. The financing commitment under the Commitment Letter expires if the Proposed Financing does not close on or prior to May 15, 2015.”
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