secwatch / observer
8-K filed October 2, 2023, 7:59 PM ET CIK 0001775625
other material confidence high sentiment negative materiality 1.00

SmileDirectClub, Inc.: Nasdaq/NYSE listing notice — SmileDirectClub files Chapter 11 bankruptcy; secures up to $80M DIP financing; Nasdaq delisting

SmileDirectClub, Inc.

Key facts

Extracted from this filing and checked against the source text.

Debt Financings SEC 8-K Item 2.03/2.04 confidence 0.9

SmileDirectClub, Inc. incurred term loan of up to $80,000,000 with Cluster Holdco LLC, as administrative agent and collateral agent at 17.5% maturing December 29, 2023.

Instrument
term loan
Principal
up to $80,000,000
Counterparty
Cluster Holdco LLC, as administrative agent and collateral agent
Rate
17.5%
Maturity
December 29, 2023
Event
incurrence
Exact text from the filing
have entered into a senior secured superpriority delayed‐draw debtor-in-possession term loan facility (the “DIP Credit Agreement”) in an aggregate principal amount of up to $80,000,000 (the “DIP Facility”), subject to the terms and conditions set forth therein. The DIP Facility is comprised of (a) upon entry of an interim order of the Bankruptcy Court approving
View on SEC.gov
Listing & Compliance Notices SEC 8-K Item 3.01 confidence 0.95

SmileDirectClub, Inc. received a nasdaq delisting notice notice regarding other (rules 5101, 5110(b), IM-5101-1).

Exchange
nasdaq
Notice
delisting notice
Rules
5101, 5110(b), IM-5101-1
Exact text from the filing
October 2, 2023, the Company received written notice from the Listing Qualifications Department of The Nasdaq Stock Market LLC (“Nasdaq”) notifying the Company that in accordance with Nasdaq Listing Rules 5101, 5110(b) and IM-5101-1, Nasdaq had determined that the Company’s securities will be delisted from Nasdaq. Trading of the Company’s common stock will be suspended at the opening of business on October 4, 2023, and Nasdaq will file a Form 25-NSE with the Securities and Exchange Commission, which will remove the Company’s securities from listing and registration on Nasdaq. The Company expec
View on SEC.gov
Material Agreements SEC 8-K Item 1.01/1.02 confidence 0.9

SmileDirectClub, Inc. entered into Forbearance Agreement with certain of its lenders (effective 2023-09-29).

Action
entry
Agreement
credit facility
Counterparty
certain of its lenders
Effective
2023-09-29
Exact text from the filing
On September 29, 2023, SDC U.S. SmilePay SPV (“SDC SVP”), SmileDirectClub, LLC (“SDC LLC”) and SDC Financial LLC entered into a Forbearance Agreement (the “Forbearance Agreement”) and Restructuring Plan Term Sheet (“Term Sheet”) with certain of its lenders (the “Forbearance Lenders”) in connection with that certain Loan Agreement by and among SDC SVP as borrower, SDC LLC as seller and servicer, HPS Investment Partners, LLC (“HPS”) as administrative agent and collateral agent, and the lenders from time to time party thereto (the “HPS Loan Facility”).
View on SEC.gov
Material Agreements SEC 8-K Item 1.01/1.02 confidence 0.9

SmileDirectClub, Inc. entered into DIP Credit Agreement with Cluster Holdco LLC valued at up to $80,000,000.

Action
entry
Agreement
credit facility
Counterparty
Cluster Holdco LLC
Value
up to $80,000,000
Exact text from the filing
SmileDirectClub, Inc. (the “Company”), SDC Financial LLC (the “Borrower”, together with the Company and certain of the Company’s subsidiaries, the “Debtors”), the lenders from time to time party thereto (each, a “DIP Lender” and together the “DIP Lenders”), and Cluster Holdco LLC, as administrative agent for the DIP Lenders (in such capacity, the “Administrative Agent”) and as collateral agent for the DIP Lenders (in such capacity, the “Collateral Agent”) have entered into a senior secured superpriority delayed‐draw debtor-in-possession term loan facility (the “DIP Credit Agreement”) in an aggregate principal amount of up to $80,000,000 (the “DIP Facility”), subject to the terms and conditions set forth therein.
View on SEC.gov

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Source: SEC EDGAR
accession 0001775625-23-000112
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