CleanFUEL USA, a manufacturer of alternative fuel equipment for propane autogas, announced that it has filed for Chapter 11 bankruptcy to seek the restructure of its debts.
CleanFuel USA also expects to obtain debtor-in-possession (DIP) financing for an orderly reorganization. Subject to court approval, the DIP financing, along with the company’s cash from operations, is expected to provide sufficient liquidity to allow continued operations during the Chapter 11 process.
“We are taking this action so we can continue to strengthen and adapt our business to meet the changing dynamics in the alternative fuel industry,” said Curtis Donaldson, the founder and president of CleanFUEL USA. “We intend to use the Chapter 11 process to reorganize our financial and operational structure, and position the company for the future.”
During the restructuring process, the company plans to operate its business as usual, fulfilling customer orders, paying vendors, and offering the same services.
Originally posted on Automotive Fleet