Vivus seeks court approval to use $21.5 million in cash collateral

By Caroline Salls

Pittsburgh, July 9 – Vivus, Inc. requested court approval to use the cash collateral of its pre-bankruptcy secured parties, according to a motion filed Wednesday with the U.S. Bankruptcy Court for the District of Delaware.

Specifically, the motion said the parties with an interest in the cash collateral are its pre-bankruptcy secured noteholder and indenture trustee.

“The debtors require immediate access to liquidity to ensure that they are able to continue operating during these Chapter 11 cases, pursue their restructuring strategy and to preserve the going-concern value of their estates for the benefit of all parties in interest,” the motion said.

Vivus said substantially all $21.5 million of its total cash on hand as of its bankruptcy filing date is subject to the liens of the pre-bankruptcy secured parties and constitutes cash collateral.

Campbell, Calif.-based Vivus is a pharmaceutical company that filed bankruptcy on July 7. The Chapter 11 case number is 20-11779.

© 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.