HDL, Inc. Begins Utilizing DIP Financing
Says borrowing provides a “welcome infusion of capital”
RICHMOND, Va. (August 10, 2015) – Health Diagnostic Laboratory Inc. (HDL, Inc.) announced that as of today it has begun utilizing the funds available from its court-approved Debtor in Possession (DIP) financing.
“This welcome infusion of capital will help pave the way towards a smooth and orderly sale of our company,” said HDL, Inc. Executive Vice President and General Counsel Douglas Sbertoli. “We had been solely reliant on cash from account receivable payments since filing for Chapter 11 protection on June 7. This financing provides the additional funds needed to satisfy our ongoing operating expenses and our business activities will continue uninterrupted.
“The loan provides much appreciated financial breathing room, and it’s a good day for HDL, its stakeholders and its employees. We remain fully committed to patient care, and deeply value the ongoing support of the many healthcare providers who order advanced diagnostic tests from us.”
Preliminary approval for the loan was granted by United States Bankruptcy Judge Kevin R. Huennekens in an August 4 hearing, and formalized in an interim order entered on Friday, August 7. The transaction closed later that day.
The interim order authorizes HDL, Inc. to borrow up to $6 million prior to a final hearing scheduled for August 24, at which time the judge will rule on HDL, Inc.’s request that it be allowed to borrow up to an additional $6 million. If approved, that would authorize HDL, Inc. to borrow up to a total of $12 million, an amount the company has said it believes will be more than adequate to meet its needs prior to the anticipated sale of the company in late September.
The DIP financing is being provided by Credit Value Partners through its affiliates.
About Health Diagnostic Laboratory, Inc.
Founded in 2008, Health Diagnostic Laboratory, Inc. (HDL, Inc.) is a leader in health improvement with one mission: to beat cardiovascular disease and diabetes, one patient at a time. HDL, Inc. provides comprehensive biomarker testing and lifestyle counseling for earlier disease detection and targeted disease management, resulting in improved patient outcomes and reduced costs. HDL, Inc.’s novel, systematic approach provides a basis for individualized treatment by identifying the underlying factors that contribute to disease progression. This allows healthcare professionals to provide the most effective, appropriate care for their patients, and empowers individuals to take steps to improve their health. In addition to lab testing, HDL, Inc. offers patients a personalized overview of their lab results and intensive counseling from expert Clinical Health Consultants to promote healthier lifestyles. us at Facebook.com/myhdl and on Twitter @hdltweets. HDL, Inc. is a CLIA-certified, CAP-accredited laboratory. For more information, visit myHDL.com, and make HDL, Inc. part of your digital lifestyle at Facebook.com/myhdl and on Twitter @hdltweets.
MEDIA CONTACT: Doug Sbertoli at email@example.com or (804) 343-2718 ext. 1635.