Aventine Renewable Energy Holdings obtains secured term loan of $200m

In Illinois, Aventine Renewable Energy Holdings announced today that it has obtained a new senior secured term loan of $200 million from Citibank and Jefferies Finance. The Company intends to use the proceeds of the Term Facility to refinance their 13% senior secured notes due 2015, to pay related transaction costs, fees and expenses, and for general corporate purposes. The Term Facility is secured by a pledge of the Company’s capital stock and assets. The Term Facility matures December 22, 2015. Tom Manuel, CEO of Aventine, noted, “This adds to what has already been a very exciting week for Aventine. In addition to securing this term loan facility which significantly strengthens our balance sheet, we’ve also shipped our first load of ethanol out of our Mt. Vernon, Indiana plant.” Manuel continued, “Each of these steps helps us with our goal to improve the cost structure of our business and position Aventine as a low cost producer.”

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