The US Bankruptcy Court gave an order to Generation Next Franchise Brands, Inc. to obtain DIP financing on an interim basis on December 26, 2019. As per the order, the debtor has been authorized to obtain a DIP loan facility in the amount of $0.50 million out of total facility of $2.54 million, from Genext Loan, LLC. The DIP loan would either carry an interest rate of 20% p.a., along with an additional 8% p.a. interest in the event of default. The DIP facility would mature either on the 120 days following the effective date of the plan, the dismissal of any of the chapter 11 cases, and or on the date of consummation of the sale of substantially all assets, the appointment of a trustee or an examiner with special powers, whichever is earlier. Adequate protection would be provided to the DIP lenders in the form of super-priority administrative expense claims which is subject to a carve-out of $0.33 million towards unpaid professional fees / administrative expenses and first priority lien upon and security interest in the debtors collateral. The Lender is to receive a loan fee of $60,000, which is fully earned as of the entry of the final order. The Borrowers will pay the Lender an extension fee of 2% of the total amount of outstanding in connection with each of the 260 days extensions of the maturity date. The final hearing is scheduled for January 16, 2020.