Private Credit Lenders Acquire Zips Car Wash Amid Bankruptcy

Reported about 12 hours ago

Zips Car Wash has filed for Chapter 11 bankruptcy, planning to transfer control to its private credit lenders, while seeking to reduce its debt by approximately $279 million and raise $15 million in new capital. The company, which operates about 260 car wash locations, aims to secure $30 million in debtor-in-possession financing to maintain operations during bankruptcy proceedings and has been in talks with various lenders. Zips' bankruptcy highlights the challenges faced by companies financed through private credit, as seen in other recent cases.

Source: YAHOO

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