VeraSun debtor granted interim access to $500,000 DIP loan

By Caroline Salls

Pittsburgh, Dec. 19 - VeraSun Energy Corp. debtor VeraSun Janesville, LLC was granted interim access to a $500,000 debtor-in-possession facility from AgStar Financial Services, PCA, according to an 8-K filed with the Securities and Exchange Commission.

The final hearing is scheduled for Jan. 8.

Interest is Libor plus 700 basis points.

The DIP facility will mature on Jan. 15.

VeraSun Janesville will pay a 1% commitment fee and an administration fee of 0.5% of the total committed amount of the facility.

The DIP facility is guaranteed by US BioEnergy Corp. and may be used for working capital needs of the VeraSun Janesville debtor, subject to a budget.

VeraSun, based in Brookings, S.D., produces renewable fuel. The company filed for bankruptcy on Oct. 31 in the U.S. Bankruptcy Court for the District of Delaware. Its Chapter 11 case number is 08-12606.

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