Scrambling to stay afloat as it continues Chapter 11 bankruptcy proceedings, Encompass Services Corp. has secured debtor-in-possession financing and additional bonding capacity to use during its reorganization process. Several financial institutions reportedly signed a deal with the Houston-based contractor that would provide it with $60 million in liquidity.
The company has also reached agreements with its primary surety bond providers for access to $60 million in additional bonding capacity, of which the company has already drawn $20 million. An additional $150 million is available, but the money is subject to the company meeting certain collateral requirements and contingent upon the approval of the bank group.
Encompass was named the second largest contractor in the United States in 2002 by CEE News.
