Law360 reported Ahern Rentals Inc. has asked a Nevada bankruptcy judge to sign off on a $415 million financing package from Jeffries Finance LLC that it plans to use to fund its Chapter 11 exit.

According to the report, the equipment rental company said the fee and engagement letters for the Jeffries financing need to be kept confidential, but that the secured bridge loan is expected to cost about $20 million. Earlier this month, Ahern also sought approval for two loans totaling $495 million that are backed by Bank of America NA, Merrill Lynch Pierce Fenner & Smith Inc. and Husky Finance Holdings LLC.
 
The new, $415 million facility will be used to backstop certain other financing, according to Ahern.
 
Law360 reported that Ahern submitted a reorganization plan last year but is currently battling noteholders who proposed a competing Chapter 11 plan in February. The noteholders' plan, backed by Del Mar Master Fund Ltd. and five other large noteholders, would allow them to take control of the company to satisfy $267 million of debt. The company's plan would preserve CEO Don Ahern's 97 percent stake in the company and offers the noteholders a cash payment worth 50 percent of their $267.7 million debt if they vote in favor of the proposal.

To read the full Law360 report, click here.