Custom Alloy gets further interim access to cash collateral

By Sarah Lizee

Olympia, Wash., Oct. 27 – Custom Alloy Corp. gained further emergency interim approval to use cash collateral, according to an order filed Wednesday with the U.S. Bankruptcy Court for the District of New Jersey.

As previously reported, the debtor asked to use the cash collateral of prepetition lender CIBC Bank USA, and to the extent it is not wholly unsecured, the cash collateral of Barings BDC, Inc.

Custom Alloy has filed a lawsuit against CIBC, citing the lender is managing the debtor in a “commercially unreasonable” manner and contrary to the best interests of the company’s stakeholders.

The company also said CIBC is attempting to sell the company for its own benefit.

Custom Alloy is a High Bridge, N.J.-based manufacturer of specialty metals for seamless and welded pipe fittings and forgings. The company filed bankruptcy on Oct. 13 under Chapter 11 case number 22-18143.

© 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.