Alliance Medical’s Lenders Ask Dubai for Cash to Meet Covenants - Bloomberg.com

Alliance Medical Ltd.’s lenders are demanding owner Dubai International Capital LLC inject about $145 million of cash to help the company meet loan conditions, two people familiar with the situation said.

Junior lenders, who rank behind senior creditors for repayment, have also hired debt restructuring specialist Houlihan Lokey, said the people, who declined to be identified because the talks are private. Loan holders have agreed to not enforce debt covenants until the end of September while the company renegotiates its debt, the people said.

Dubai International, the investment fund controlled by the emirate’s ruling sheikh, raised the money in May 2008 to fund its leveraged buyout of the Warwickshire, England-based maker of MRI and CAT scans. Alliance Medical owes a total 555 million pounds ($802 million), including 140 million pounds to junior- ranking mezzanine lenders.