KB US receives final approval to access $20 million DIP financing

By Sarah Lizee

Olympia, Wash., Sept. 21 – KB US Holdings, Inc. obtained final court approval to access $20 million in debtor-in-possession financing from its existing secured lender and access cash collateral, according to an order filed Friday with the U.S. Bankruptcy Court for the Southern District of New York.

Whitehorse Capital Management, LLC is the administrative agent.

The new financing, combined with cash generated from ongoing operations, will be used to support the business throughout the company’s sale process.

The DIP facility is scheduled to mature on Dec. 11.

Interest will accrue at the Base rate plus 700 basis points or Eurodollar plus 800 bps, both with a 1% floor.

KB is a Parsippany, N.J.-based operator of food retail stores. The company filed bankruptcy on Aug. 23 under Chapter 11 case number 20-22962.

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