Former Stant, creditors committee file joint reorganization plan

By Caroline Salls

Pittsburgh, Jan. 26 - SPC Seller, Inc., formerly Stant Parent Corp., and its official committee of unsecured creditors filed a joint plan of reorganization and related disclosure statement Monday with the U.S. Bankruptcy Court for the District of Delaware.

As previously reported, Stant received court approval in September to sell substantially all of its assets to Vapor Acquisition Corp., an affiliate of the company's majority shareholder and lender H.I.G. Capital Partners IV, LP.

The buyer agreed to assume all amounts owed under Stant's pre-bankruptcy financing and debtor-in-possession financing as consideration for the assets.

Treatment of creditors will include:

• Administrative claims and priority claims not previously paid will be assumed by the asset purchaser or paid by a professional fee account or wind-down escrow or from the proceeds of a committee cash payment;

• All DIP facility claims and senior secured lender claims will have been assumed by the purchaser and deemed paid in full;

• Holders of junior pre-bankruptcy note claims will have received a consideration under the sale agreement, and will receive no payment under the plan;

• Holders of general unsecured claims will receive a share of a committee cash payment fund; and

• Holders of interests and intercompany claims will receive no distribution.

Stant, a Connersville, Ind.-based automotive fuel system and gas cap manufacturer, filed for bankruptcy on July 27. Its Chapter 11 case number is 09-12647.

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