The implication? A massive liquidation of their truck terminals and rolling stock was on the horizon.
New Hope on the Horizon?
As Yellow navigated the treacherous waters of Chapter 11, it secured an initial agreement for $142.5 million in debtor-in-possession financing.
But soon after the Yellow Corp Bankruptcy filing, new players entered the fray. MFN and Estes, among others, threw their hats into the ring with alternative financing proposals.
These new offers lacked the rollup but extended the case timetable to 180 days, offering Yellow a glimmer of hope to fetch a premium on their assets.
Recent Revelations and the Road Ahead
In a courtroom bursting with anticipation, Yellow’s counsel Allyson Smith painted the latest picture: Hedge fund Citadel, now armed with the term loan debt, had agreed to inject $100 million into Yellow’s veins.
In tandem, MFN would provide $42.5 million in crucial financing. And as the cherry on top, Estes expressed its intent with a stalking horse bid for the truck terminals.
