The US Bankruptcy Court gave an order to Near Intelligence, Inc. to obtain DIP financing on a final basis on January 23, 2024. As per the order, the debtor has been authorized to obtain a super priority multiple draw term loan facility in the amount of $16 million with Blue Torch Finance LLC acting as the administrative agent. The DIP loan would either carry a reference Rate Loan of 8.75% p.a., and any SOFR Loan of 9.75% per annum.

As per the terms of the DIP agreement, the loan carries a closing fee of 4% of the Interim DIP Loan Commitments and an agent fee of $0.1 million. The DIP facility would mature either on 90 days after the petition date, or on the effective date of the plan or on the date of consummation of the sale of substantially all assets, 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 $0.5 million towards unpaid professional fees / administrative expenses and priority lien upon and security interest in the debtor?s collateral.

The proceeds of DIP financing would be used to provide working capital and for other general corporate purposes of the Loan Parties and their Subsidiaries, fund the costs of the administration of the Chapter 11 Cases and the section 363 sale, fund wind-down costs of the Loan Parties and make any other payments consistent with the Budget.