Exide Technologies reported today that it has received final Bankruptcy Court approval of its $500 million debtor-in-possession (DIP) financing provided by JP Morgan Chase and a group of lenders to whom the DIP financing was syndicated.
On June 10, Exide Technologies filed a voluntary petition for reorganization pursuant to U.S. federal restructuring laws in the District of Delaware. On June 11, 2013, the Court granted interim approval of access of up to $395 million of the DIP financing facility. The final approval provides the company with access to the remaining $105 million which, along with the previously released funds under the DIP financing, provides the company with liquidity to maintain its operations, pay employees and purchase goods and services.
"We are very pleased to have arranged financing that is sufficient to enable us to continue operations uninterrupted while we proceed with our restructuring," said James R. Bolch, Exide's president and chief executive officer. "We are grateful for the support of our lenders and the confidence they have displayed in Exide by meeting our funding needs."
Exide Technologies' international operations were not included in the filing and will continue their business operations without supervision from the U.S. courts.
Exide Technologies, with operations in more than 80 countries, is one of the world's largest producers and recyclers of lead-acid batteries.