October 24, 2008
Greatwide Logistics Services Inc. wins court approval to borrow as much as $45 million to continue operations while it arranges an auction for company assets.
On October 22, Willkie client Greatwide Logistics Services Inc. won court approval to borrow as much as $45 million to continue operations while it arranges an auction for company assets. As reported widely in the press, Judge Peter Walsh of the U.S. Bankruptcy Court, District of Delaware, approved the loan from UBS AG, the leader of the bank group that is preparing to acquire control of the Dallas-based trucking and warehousing company. Greatwide plans to sell itself at a court-supervised auction within 90 days to avoid losing its contract truckers, who are the heart of the company. The company filed for bankruptcy on October 20, listing assets and debt of $500 million to $1 billion each and as many as 25,000 creditors. Willkie is representing Greatwide in all aspects of its chapter 11 case, including its new financing and sale. The case is being handled by partners Matthew Feldman, Paul Shalhoub, and Gregory Astrachan, and associates Robin Spigel and Matthew Rizzo.
