The US Bankruptcy Court gave an order to Hornbeck Offshore Services, Inc to obtain DIP financing on an interim basis on May 20, 2020. As per the order, the debtor has been authorized to obtain a term loan facility in the total amount of $75 million out of it $50 million will be issued on interim basis with Wilmington Trust, National Association acting as the administrative agent. The DIP loan would either carry an interest rate of LIBOR plus 12.50% p.a., with a LIBOR floor of 1% p.a., along with an additional 2% p.a. interest in the event of default. As per the terms of the DIP agreement, The DIP Facility also includes an upfront fee of 2.50% and an exit fee of 1.00% of the entire commitment amount of the DIP Facility. The DIP facility would mature either on 6 months after the closing date of the DIP Facility; (b) the Plan Effective Date; (c) acceleration of the DIP Facility following the occurrence of an Event of Default; and (d) the occurrence of any sale pursuant to Section 363 of the Bankruptcy Code, whichever is earlier. Adequate protection would be provided to the DIP lenders in the form of super-priority administrative expense claims which is subject to a carve-out of $0.10 million towards unpaid professional fees / administrative expenses and first priority lien upon and security interest in the debtor’s collateral. The Final Hearing is scheduled for June 15, 2020.