Family Christian asset sale procedures OK’d; auction set for May 21

By Kali Hays

New York, April 16 – Family Christian, LLC obtained approval of bid procedures for the proposed sale of substantially all company assets, according to a Thursday order from the U.S. Bankruptcy Court for the Western District of Michigan.

As previously reported, original stalking horse bidder FCS Acquisition, LLC formally terminated its $73.77 million asset purchase agreement on March 23.

However, Family Christian said it received significant support from interested parties to proceed with the filing of a new sale motion with related bid procedures.

Under the order, all bids for the assets are due by 5 p.m. ET on May 18 and if the company receives one or more qualified bids, an auction will be held on May 21.

Bids at auction must be made in increments of $100,000 and all bids must include a deposit equal to the greater of $1 million and 3.5% of the proposed cash purchase price.

A sale hearing is set for June 4.

Family Christian, a Grand Rapids, Mich.-based retailer, filed for bankruptcy on Feb. 11. The Chapter 11 case number is 15-00643.

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