Lugano Diamonds Files for Ch. 11, Seeks Approval of $12M DIP (1)

Lugano Diamonds & Jewelry Inc., and certain of its affiliates, have voluntarily filed for chapter 11 relief in the US Bankruptcy Court for the District of Delaware, according to a statement.

• Lugano has filed a motion seeking court approval to commence a sale process for substantially all of its assets, and reached an agreement with Enhanced Retail Funding to support this process
• Lugano has filed a motion seeking approval of a $12 million debtor-in-possession financing facility that could provide as much as $10 million of new liquidity
• According to a Delaware court filing, the company has estimated assets ...