Advantage Rent A Car secures interim approval of DIP loan increase

By Caroline Salls

Pittsburgh, April 23 - Simply Wheelz LLC, which does business as Advantage Rent A Car, received interim court approval of an amendment to its final debtor-in-possession financing order that increases the amount of the financing to $100 million, according to an April 23 filing with the U.S. Bankruptcy Court for the Southern District of Mississippi.

As previously reported, the company said it needs to increase the amount of the Catalyst Capital Group, Inc., DIP facility to pay the deposits and equity components of additional leased fleet acquisitions and to pay specified post-bankruptcy operating expenses at the closing of a sale of assets to Advantage Opco, LLC.

According to the motion, Advantage expected to receive the additional vehicles it will need to fund beginning the week of April 21.

The original amount of the Catalyst DIP loan was $46 million. That amount was subsequently increased to $75 million.

The DIP facility is scheduled to mature on April 30.

No final hearing date was given in the interim order.

Simply Wheelz, a Ridgeland, Miss., rental car company, filed bankruptcy on Nov. 5. The Chapter 11 case number is 13-03332.

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