Bird has enough liquidity to satisfy monetary obligations to metropolis companions, distributors, suppliers, and staff throughout and after the restructuring course of, and can function as regular
Agreement has unanimous assist of first- and second-lien lenders
Apollo Global Management and second-lien lenders to supply $25 million in DIP financing
MIAMI, Dec. 20, 2023 /PRNewswire/ — Bird Global, Inc. (OTCQX: BRDS), (“Bird” or the “Company”) a pacesetter in environmentally pleasant electrical transportation, in the present day introduced its entry right into a monetary restructuring course of geared toward strengthening its stability sheet and higher positioning the corporate for long-term, sustainable development. Bird will function as regular throughout this course of, sustaining the identical service for its riders and upholding its commitments to companion cities, fleet managers, and staff.
“This announcement represents a big milestone in Bird’s transformation, which started with the appointment of latest management early this yr,” mentioned Bird Interim CEO Michael Washinushi. “We are making progress towards profitability and intention to speed up that progress by right-sizing our capital construction by way of this restructuring. We stay centered on our mission to make cities extra livable by utilizing micromobility to scale back automobile utilization, site visitors, and carbon emissions.”
During and after the restructuring course of, Mr. Washinushi will proceed as Interim CEO, supported by Board Chair John Bitove, President Stewart Lyons, and CFO Joseph Prodan. Last week, Harvey L. Tepner joined the Board of Directors as an Independent Director, and Philip Evershed resigned from the Board of Directors.
The Company’s first- and second-lien lenders have additionally entered right into a complete restructuring assist settlement (the “RSA”). To implement the RSA, and access $25 million in new debtor-in-possession financing from MidCap Financial, a division of Apollo Global Management, and the corporate’s present second-lien lenders, Bird has commenced a voluntary Chapter 11 chapter continuing within the U.S. Bankruptcy Court for the Southern District of Florida. The Company will use the court-supervised course of to facilitate a sale of its belongings, and has entered right into a “stalking horse” settlement with the Company’s present lenders, which successfully units a ground for Bird’s worth. The bid is topic to increased and higher affords, and is geared toward maximizing worth for all stakeholders. Bird expects to finish the sale course of within the subsequent 90-120 days.
Bird Canada and Bird Europe (dba as “Bird Rides Europe B.V.”) usually are not a part of the submitting and in addition proceed to function as regular. Since its inception, Bird riders have traveled over 300 million miles globally, offsetting an estimated 90 million kilos of carbon emissions from averted automobile journeys, and taking part in a pivotal position in a whole bunch of cities’ sustainability objectives whereas making different transportation handy, environment friendly, and enjoyable.
Bird has filed with the Court a sequence of customary “First Day Motions” to facilitate a clean transition out of business. These filings present for fee of wages and advantages to staff, and make different provisions to allow Bird to proceed working as regular. Bird expects the Court to approve these requests briefly order, that are anticipated to attenuate the impression of the restructuring course of on its metropolis companions, riders, staff and different key stakeholders.
Additional data associated to the proceedings is available at http://dm.epiq11.com/case/birdglobal/info. Stakeholders with questions might contact the Company’s Claims Agent, Epiq, at [email protected].
BergerSingerman LLP is serving as authorized counsel, Cassel Salpeter & Co. is serving as funding banker, Teneo Capital LLC is serving as monetary and restructuring advisor, and Epiq Corporate Restructuring, LLC is serving as claims and noticing agent to the Company.
About Bird
Bird, the biggest micromobility operator in North America, is an electrical automobile firm devoted to bringing inexpensive, environmentally pleasant transportation options similar to e-scooters and e-bikes to communities the world over. Bird and Spin’s cleaner, inexpensive, and on-demand mobility options are available in 350 cities, primarily throughout Canada, the United States, Europe, the Middle East, and Australia. We take a collaborative, community-first strategy to micromobility. Bird and Spin companion carefully with the cities wherein they function to supply a dependable and inexpensive transportation choice for individuals who stay and work there.
For extra data on Bird, go to www.bird.co and for extra data on Spin, go to www.spin.app.
Forward-looking Statements
Certain statements on this press launch could also be thought-about “forward-looking statements” inside the which means of the “secure harbor” provisions of the United States Private Securities Litigation Reform Act of 1995. Forward-looking statements embody all statements aside from statements of historic truth contained on this press launch together with, however not restricted to, the anticipated impression on the operation of Bird’s business on account of the restructuring course of, Bird’s business technique and plans, the anticipated timing of the transactions contemplated by the RSA, Bird’s expectations relating to the chapter proceedings and end result and timing of associated motions filed with the Court. In some instances, you may determine forward-looking statements by terminology similar to “might,” “ought to,” “count on,” “intend,” “will,” “estimate,” “anticipate,” “consider,” “predict,” “potential” or “proceed,” or the negatives of those phrases or variations of them or comparable terminology. Such forward-looking statements are topic to dangers, uncertainties, and different components which may trigger precise outcomes to vary materially from these expressed or implied by such ahead wanting statements. These forward-looking statements are based mostly upon estimates and assumptions that, whereas thought-about cheap by Bird and its administration, are inherently unsure. Factors that will trigger precise outcomes to vary materially from present expectations embody, however usually are not restricted to dangers and uncertainties associated to, amongst different issues: the chapter course of, the flexibility of Bird and its subsidiaries to acquire approval from the Bankruptcy Court with respect to motions or different requests made to the Bankruptcy Court all through the course of the Chapter 11 instances; the flexibility of Bird and its subsidiaries to consummate a sale and plan inside the Company’s presently anticipated timeline or in any respect; the results of the Chapter 11 instances, together with elevated skilled prices, on the liquidity, outcomes of operations and businesses of Bird and its subsidiaries; the flexibility of Bird and its subsidiaries to function their respective businesses throughout the pendency of the Chapter 11 instances; the consummation of the transactions contemplated by the restructuring assist settlement (“RSA”), together with the flexibility of the events to barter definitive agreements with respect to the issues coated by the time period sheets included within the RSA; the incidence of occasions that will give rise to a proper of any of the events to terminate the RSA, and the flexibility of the events thereto to fulfill the opposite situations of the RSA, together with satisfying the milestones specified within the RSA; the flexibility to keep up relationships with Bird’s suppliers, prospects, staff and different third events on account of, and following the Company’s emergence upon completion of, the Chapter 11 instances, in addition to perceptions of the Company’s elevated efficiency and credit score dangers related to its constrained liquidity position and capital construction, which displays a lately elevated danger of extra chapter or insolvency proceedings; the likelihood that Bird could also be unable to realize its business and strategic objectives even when the RSA and sale is efficiently consummated; Bird’s capability to generate enough money to scale back its indebtedness and its potential want and talent to incur additional indebtedness; growing, funding and executing Bird’s business plan and talent to proceed as a going concern; Bird’s capital construction upon completion of the Chapter 11 instances; the comparability of Bird’s post-emergence monetary outcomes to its historic outcomes and the projections disclosed in reference to the transactions contemplated by the RSA; and attraction and retention of key personnel in mild of the Chapter 11 instances. Other components might also trigger Bird’s precise outcomes to vary materially from these expressed or implied within the forward-looking statements and such components are mentioned in Bird’s filings with the U.S. Securities and Exchange Commission (“SEC”), together with its Annual Report on Form 10-Okay for the fiscal yr ended December 31, 2022, and subsequent reviews filed by Bird with the SEC. Copies of Bird’s filings with the SEC could also be obtained on the “SEC Filings” part of Bird’s web site at www.bird.co or on the SEC’s web site at www.sec.gov.
Nothing on this press launch needs to be thought to be a illustration by any person that the forward-looking statements set forth herein will likely be achieved or that any of the contemplated outcomes of such forward-looking statements will likely be achieved. The forward-looking statements included on this press launch are made as of the date hereof. Bird will not be below any obligation to (and expressly disclaims any such obligation to) update any of the data on this press launch if any forward-looking assertion later seems to be inaccurate, whether or not on account of new data, future occasions or in any other case, besides as in any other case could also be required by the federal securities legal guidelines.
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SOURCE Bird Global, Inc.
