Mondee Holdings, Inc.

Sale Process · Chapter 7

Case No.: 25-10047 · Delaware · Petition date: Jan 14, 2025

Research this case Track this case Sign in

Mondee Holdings, Inc. Bankruptcy Case

Mondee remains on the lender-backed sale-and-liquidation path established at the outset of chapter 11, with amended final authority to use cash collateral and fund the process through a senior secured DIP facility. The latest controlling financing order authorizes $35 million of new money—$2 million of Term Loan A and $33 million of Term Loan B—alongside approximately $105 million of rolled-up prepetition debt, all supported by priming liens and superpriority claims under the Amended Final DIP Financing OrderDkt. 444.

The travel-technology company entered chapter 11 after a prolonged liquidity squeeze. Pandemic disruption impaired its travel business, its 2022 SPAC transaction delivered less equity capital than expected, and rising variable-rate interest costs increased pressure on a capital structure carrying approximately $231.7 million of secured debt. After outreach to 35 potential financing counterparties failed to produce a refinancing, the debtors relied on $21.5 million of bridge financing in December 2024 and January 2025 to reach the petition date, according to the First Day DeclarationDkt. 18.

Before filing, Mondee entered into a restructuring support agreement with all prepetition secured lenders and founder Prasad Gundumogula. That agreement contemplated a section 363 process anchored by a $191 million lender credit bid, with Gundumogula contributing $10 million for 75% of the purchaser’s common equity and the lenders receiving the remaining 25% plus preferred equity; the debtors expected to follow the sale with a liquidating plan. The First Day DeclarationDkt. 18 set an accelerated timetable of a sale closing within 60 days and plan confirmation within 100 days. The amended DIP order continued to require pursuit of a sale to the stalking-horse purchaser or another qualified bidder, imposed weekly budget testing with a 20% permitted variance, and retained independent oversight through a chief restructuring officer and special committee; the supplied record identifies no later confirmation order or effective-date notice.

AI-generated summary. Check the cited filings before relying on it.Updated Jul 26, 3:26 AM ET

Latest development

StatusApril 11, 2025

Mondee enters dismissal track with wind-down reserve and final fee deadlines

Mondee’s Chapter 11 cases moved into their terminal phase on April 11: the court entered an order resolving the debtors’ conversion-or-dismissal motion by authorizing a dismissal process rather than immediately converting the cases to Chapter 7. The initial dismissal order lets the debtors maintain a wind-down reserve from excluded cash, preserves the DIP and sale orders, and directs professionals to pursue final compensation on a compressed schedule.

The practical deadlines are near-term. Final Chapter 11 fee applications are due April 21, 2025, objections are due May 8, and any contested fee matters are set for a May 20 hearing. Before final dismissal, the debtors must file operating reports through the dismissal date and certify that all U.S. Trustee fees have been paid. For case followers, the live issue is no longer a going-concern restructuring; it is whether remaining cash, carve-out protections, and the wind-down reserve are sufficient to close the estate cleanly while professional-fee and administrative-claim disputes are resolved.

Key professionals

View all →

Investment Banker

Piper Sandler & Co.

Chief Restructuring Officer

M3 Advisory Partners, LP

Claims and Noticing Agent

Kroll Restructuring Administration, LLC

Special Counsel

Reed Smith LLP