Not Cool, Dude: Surf and Skate Company Primes Lenders with “Uptiering” Transaction
By EsqSocial Corporation 29/10/20
On October 9, 2020, a group of first lien lenders filed a lawsuit in the New York Supreme Court against Boardriders, Inc., a California-based surfing and skateboarding apparel company and its equity sponsor, challenging a series of transactions that effectively subordinated the aggrieved lenders to $431 million in new super-priority debt. These transactions also had the effect of stripping away substantial affirmative and negative covenants protecting the aggrieved lenders’ rights under the...
By: Locke Lord LLP