AbitibiBowater wins approval of court to borrow $1.35 billion

AbitibiBowater won approval of a U.S. court today to borrow $1.35 billion to fund the company's exit from bankruptcy.

The Judge gave permission to borrow the funds after no objection to the financing proposal was received.

Units of JPMorgan Chase & Co., Barclays Plc, and Citigroup Inc. will be the agents for a $600 million asset-based loan and each will contribute $100 million, court papers show. The company will also seek to raise as much as $750 million through a notes offering in the capital markets.

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AbitibiBowater Wins Approval of $1.35 Billion Bankruptcy Exit Financing (Bloomberg)