| Add to balance / Manage account | User: | Log out |
| Prospect News home > News index > List of issuers G > Headlines for Gander Mountain Co. > News item |
Gander Mountain files stalking horse bid for sale of company assets
By Caroline Salls
Pittsburgh, March 30 – Gander Mountain Co. filed a stalking horse bid agreement reached with a joint venture comprised of Gordon Brothers and Hilco Merchant Resources that allows for the purchase of substantially all of Gander Mountain’s assets, according to a company news release.
The amount of the bid was not specified. According to court documents, the joint venture has agreed to pay Gander Mountain a guaranteed percentage of 91% of the cost value of its merchandise sold in store-closing sales, but that amount would change if any stores are removed to be sold as a going concern.
The company said the stalking horse agreement and bid procedures were designed to facilitate a seamless sale of Gander Mountain as a going concern.
In addition, the company said the agreement satisfies one of its planned milestones and ensures operational continuity necessary to support a successful sale.
According to the release, Gander Mountain and its advisers remain in discussions with a number of interested parties that are engaged in due diligence in an effort to finalize proposals, offers and bids. The company said it expects to continue these efforts in advance of an auction to be held in April.
The winning bid is expected to be submitted to the U.S. Bankruptcy Court for the District of Minnesota for approval in early May, and the sale is expected to close by May 15.
Gander Mountain is a Saint Paul, Minn.-based retail network of stores for hunting, fishing, boating, camping, marine and outdoor lifestyle products and services. The company filed for bankruptcy on March 10 under Chapter 11 case number 17-30673.
© 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.