Ropes & Gray Represents First Lien Lenders in Recapitalization of K&N Engineering

In The News
February 17, 2023

Ropes & Gray advised an ad hoc group of first lien lenders to K&N Engineering, Inc. On February 16, K&N announced the closing of a recapitalization transaction that reduced its debt by approximately $250 million and participating first lien lenders invested $60 million of new money into the business. K&N previously entered into a Restructuring Support Agreement with 100% of its first lien lenders, second lien lenders and equity holders. As a result of the transaction, first lien lenders control a majority of the equity of K&N.

Headquartered in Riverside, California, K&N Engineering is a manufacturer of air filters, cold air intake systems, oil filters, performance parts, and other related vehicle applications.

The Ropes & Gray team was led by business restructuring partners Ryan Preston Dahl and Matthew Roose and associate Eric Sherman and included finance partners Leonard Klingbaum, Alyson Gal and Milap Patel, associates Lisa Chan, Courtney Jones and Risa Kuroda, tax partner Leo Arnaboldi, and employment & benefits partners Danna Kivell and Pascal Mayer.