E-mail us: service@prospectnews.com Or call: 212 374 2800
Bank Loans - CLOs - Convertibles - Distressed Debt - Emerging Markets
Green Finance - High Yield - Investment Grade - Liability Management
Preferreds - Private Placements - Structured Products
 
Published on 3/23/2006 in the Prospect News Distressed Debt Daily.

Meridian Automotive gets court OK for $18.26 million Fowlerville, Mich., facility sale

By Caroline Salls

Pittsburgh, March 23 - Meridian Automotive Systems, Inc. obtained court approval to sell its Fowlerville, Mich., manufacturing facility to First Industrial Acquisitions, Inc. for $18.26 million, according to a Thursday filing with the U.S. Bankruptcy Court for the District of Delaware.

The court also approved a 15-year leaseback transaction under which First Industrial will receive $1.84 million for the first year of the leaseback and 2% increases of the base rent for each subsequent year.

First Industrial paid a $360,000 deposit toward the purchase of the property.

Meridian will issue a $3.5 million letter of credit to First Industrial before the lease takes effect.

Meridian, a Dearborn, Mich., supplier of lighting, exterior composites, console modules, instrument panels and other interior systems to automobile and truck manufacturers, filed for bankruptcy on April 26, 2005. Its Chapter 11 case number is 05-11168.


© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere. For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.