GT Advanced Technologies DIP facility solicitation extended to June 3

By Caroline Salls

Pittsburgh, May 13 – GT Advanced Technologies Inc. announced a third extension of the solicitation period in connection with its proposed debtor-in-possession term loan facility, according to a Wednesday news release.

Specifically, the solicitation period is now scheduled to expire at 5 p.m. ET on June 3.

As previously reported, the solicitation process is being conducted in connection with a commitment letter between the company and some convertible noteholders.

The U.S. Bankruptcy Court for the District of New Hampshire approved the solicitation process on April 2.

On April 29, GT Advanced and the backstop lenders entered into a second amendment to the commitment letter under which the backstop lenders agreed to an extension of their commitment to provide the DIP loan facility to an outside date of June 15.

The company said it expects the DIP facility to provide loans in an initial principal amount of $95 million. The facility will also permit a letter-of-credit facility providing for the issuance of letters of credit with the total face amounts outstanding not to exceed $15 million.

The opportunity to participate in the DIP facility is limited to those holders of GT’s convertible notes as of March 13 that are qualified institutional buyers, institutional accredited investors or an entity in which all of the equity investors are institutional accredited investors.

According to the release, the company expects to use the proceeds of the facility to fund working capital requirements, pay costs, fees and expenses incurred in connection with the DIP facility and pay other costs and expenses related to the administration of its Chapter 11 cases.

Merrimack, N.H.-based GT Advanced Technologies is a provider of equipment and services that support the growth of the solar and LED industries. The company filed for bankruptcy on Oct. 6, 2014 under Chapter 11 case number 14-11916.

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