Nachrichten June 24, 2014

Shearman & Sterling Advises Agent on $5.4 Billion DIP Financing for Energy Future Intermediate Holding Company

Shearman & Sterling is representing Deutsche Bank as administrative agent and collateral agent in connection with a $5.4 billion superpriority priming debtor-in-possession (DIP) financing facility for Energy Future Intermediate Holding Company LLC and EFIH Finance Inc. (together, the “Borrowers”). The Borrowers, together with Energy Future Holdings Corp. and certain of its other subsidiaries, commenced chapter 11 proceedings in the United States Bankruptcy Court for the District of Delaware on April 29, 2014. The DIP financing received final approval by the Bankruptcy Court on June 6, 2014 and closed June 19, 2014. Shearman & Sterling also advised Deutsche Bank as arranger (together with a consortia of six other lead arrangers) under the DIP and in their capacities as dealer managers in connection with a related exchange offer for the Borrowers’ first lien notes and a tender offer for the Borrowers’ second lien notes. The DIP involved a unique and unprecedented structure whereby certain noteholders exchanged their notes for DIP loans in settlement of a make whole dispute.

The Team