First Brands gets US$1bil in fresh cash to avert collapse


Restructuring advisers are investigating the company’s use of off-balance sheet financing that has roiled its creditors. — Bloomberg

NEW YORK: A broad group of First Brands Group LLC lenders rushed to provide US$4.4bil of rescue funding to save the auto-parts supplier from imploding, lawyers say, as restructuring advisers investigate the company’s use of off-balance sheet financing that has roiled its creditors.

The lender group advised by law firm Gibson, Dunn & Crutcher LLP includes Beach Point Capital Management LP, Diameter Capital Partners LP, Redwood Capital Management LLC and UBS Asset Management (Americas) LLC, according to a Tuesday disclosure filed in Texas bankruptcy court.

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