Lear Scores $500M DIP Loan Despite Competing Offer

Law360, New York (July 30, 2009, 7:53 PM EDT) -- Bankrupt automotive seat manufacturer Lear Corp. reportedly received approval on Thursday to access $500 million in debtor-in-possession financing despite objections from Lear's official committee of unsecured creditors and a group that had offered a competing DIP proposal.

Concluding that there was no evidence that the debtors could obtain cheaper funding, Judge Allan L. Gropper of the U.S. Bankruptcy Court for the Southern District of New York signed off on Lear’s request to access the funding provided by a group of lenders led by JPMorgan Chase &...
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