| Add to balance / Manage account | User: | Log out |
| Prospect News home > News index > List of issuers G > Headlines for Global Home Products, LLC > News item |
Global Home Products seeks court OK of bid procedures for $21 million WearEver asset sale
By Caroline Salls
Pittsburgh, July 10 - Global Home Products, LLC requested court approval of the bidding procedures for its proposed $21 million sale to Lifetime Brands, Inc. of substantially all of the operating assets of its WearEver debtor, according to a Friday filing with the U.S. Bankruptcy Court for the District of Delaware.
According to the filing, WearEver is not profitable under its current capital structure, and Global Home Products will not be able to continue the business as a going concern beyond the near term.
"The WearEver debtors lack sufficient cash flow or financing to enable them to continue to obtain the products that they need to complete sales to their customers," the company said in the motion.
Lifetime Brands will pay a $500,000 deposit and a second $1.5 million deposit after approval of the sale.
If Lifetime Brands is not the high bidder, Global Home Products will pay it a $700,000 break-up fee.
The initial overbid must be for at least $150,000 more than the sum of the purchase price and the break-up fee.
Each successive bid must be for at least $100,000 more than the previous bid.
Bidders must provide a $2 million deposit.
The company requested a hearing on the bidding procedures be held Wednesday.
Global Home Products, through its Anchor Hocking, The Burnes Group and WearEver businesses, is a Westerville, Ohio-based designer, marketer and manufacturer of branded consumer and specialty products to retail and hospitality customers and original equipment manufacturers. The company filed for bankruptcy on April 10. Its Chapter 11 case number is 06-10430.
© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere.
For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.