CONNERSVILLE, Ind. ― Following its July 27 voluntary Chapter 11 filing, Stant Corp. has reported that yesterday its first-day motions were approved by the United States Bankruptcy Court for the District of Delaware. These motions will enable the company to continue operating in the ordinary course and without disruption during the restructuring process. 

Among the court-granted motions was the company’s request to approve its DIP financing from its existing senior lenders and an affiliate of H.I.G. Capital LLC. This financing will provide liquidity during the restructuring process to ensure an uninterrupted supply of goods and services along with providing contingency funding to handle any potential unexpected needs. 

Stant CEO Marlon Bailey, commented, “We are pleased that through the restructuring process, our balance sheet will strengthen while customers receive Stant’s business-as-usual, high service level. Receiving prompt approval for these first-day motions will keep Stant on track for a speedy exit from Chapter 11.”

Stant said it expects to emerge quickly from Chapter 11 this fall. The company has secured a fully financed stalking horse bid from an affiliate of H.I.G. Capital, which is being financed by the company’s existing senior lender group. The bid, which is subject to the court approved process, is intended to provide the company with a smooth and quick emergence from Chapter 11.