Home » NEWS » Banking & Finance » KiOR misses debt payment, Miss. doesn't foreclose

KiOR misses debt payment, Miss. doesn't foreclose

kior logoJACKSON — Biofuel maker KiOR has missed its deadline for a $1.8 million loan payment to the state of Mississippi at midnight Wednesday, but instead of legal action, what has immediately followed is waiting.

The state has not moved to foreclose, and the Pasadena, Texas, company has not declared bankruptcy.

The wait could mean a buyer is near for the Columbus plant. The Mississippi Development Authority says it has signed a confidentiality agreement, a sign that someone may have serious interest in a purchase.

Movement to collect on the loan could force KiOR into bankruptcy and entangle the plant in litigation, delaying any sale.

Mississippi had warned KiOR that it could demand immediate repayment of the entire $69.4 million owed, plus $8 million interest, if the company didn’t make the loan payment.

 

BEFORE YOU GO…

… we’d like to ask for your support. More people are reading the Mississippi Business Journal than ever before, but advertising revenues for all conventional media are falling fast. Unlike many, we do not use a pay wall, because we want to continue providing Mississippi’s most comprehensive business news each and every day. But that takes time, money and hard work. We do it because it is important to us … and equally important to you, if you value the flow of trustworthy news and information which have always kept America strong and free for more than 200 years.

If those who read our content will help fund it, we can continue to bring you the very best in news and information. Please consider joining us as a valued member, or if you prefer, make a one-time contribution.

Click for more info

About Megan Wright

Leave a Reply

Your email address will not be published. Required fields are marked *

*