WHITE SULPHUR SPRINGS — Attorneys for The Greenbrier say a proposed $500 million financing deal remains on track to close by the end of the week, though the transaction still depends on completing negotiations with a major creditor and obtaining regulatory approval from the West Virginia Lottery Commission.
Court filings in the U.S. District Court for the Southern District of West Virginia state that negotiations continue with White Sulphur Springs Holdings, an Omni Hotels affiliate that acquired about $300 million in first-lien debt tied to the resort. The parties are working to finalize an agreement needed to complete the financing.
The transaction is also under review by the West Virginia Lottery Commission because the proposed ownership restructuring could affect The Greenbrier’s casino license. State regulators are evaluating the deal before determining whether to approve the changes.
The financing proposal is at the center of an ongoing legal dispute between the Justice family, which owns The Greenbrier, and White Sulphur Springs Holdings. The Justice family argues the deal would satisfy outstanding debts and provide funding for improvements to the resort, while the creditor has sought the appointment of a receiver to oversee the property.
U.S. District Judge Frank Volk recently extended the timeline to allow the financing effort to continue but scheduled additional court proceedings if the transaction is not completed. A prehearing conference is set for September 3, followed by an evidentiary hearing on September 16 if the dispute remains unresolved.
