Metals USA, a Houston metals processor and distributor, is talking to five undisclosed banks about refinancing a $100 million credit facility led by Bank of America, as part of its strategy to exit Chapter 11. Michael Kirksey, ceo, told sister publication Corporate Financing Week that he expects to have a $175 million credit facility to replace the B of A loan.
The company, which filed for Chapter 11 protection in November, has agreed to sell $125 million in assets to various buyers and expects to have bankruptcy court approval for the sales in October, which is also when it expects court approval for its reorganization.