NOVEMBER 20, 2018 — Aegean Marine Petroleum Network Inc. (NYSE:ANW) reports that the U.S. Bankruptcy Court for the Southern District of New York has granted interim approval of all the company’s first day motions related to its voluntary Chapter 11 restructuring.
Aegean is the world’s biggest independent physical supplier of marine fuels and owns the world’s largest fleet of bunkering tankers.
Aegean says the approvals immediately improve its liquidity position and ensure that suppliers, vendors, and employees, among other critical partners, continue to be paid in the normal course of business.
The court approvals mean that the company has access to substantial capital during the restructuring process provided by a $532 million debtor-in-possession credit facility funded by Mercuria Energy Group Limited, including an initial $40 million of incremental cash over the next 30 days to support operations.
“The company continues to operate in the normal course and all payments to suppliers and vendors have been made and will continue to be made during the relatively short anticipated duration of the Chapter 11 process,” said Donald Moore, Chairman of the Aegean Board. “The court’s approval of our first day motions is an important step forward in the restructuring process and enables access to incremental liquidity enabling the company to continue to provide customers high quality service across our global network.”
The company and certain of its subsidiaries filed voluntary petitions for relief under Chapter 11 of the US Bankruptcy Code on November 6, 2018, with the support of Mercuria, a key strategic partner and one of the world’s largest independent energy and commodity companies.
In addition to providing the DIP to fund the Chapter 11 process and the company’s working capital needs, Mercuria is also acting as the “stalking horse” bidder in a sale process designed to maximize the value of the company as a going concern.