Milacron to present $175 million purchase offer for court OK Friday

By Caroline Salls

Pittsburgh, June 25 - Milacron Inc. said it will ask the U.S. Bankruptcy Court for the Southern District of Ohio to approve the $175 million offer received in May for substantially all of its assets from a group of existing investors after the June 24 bid deadline passed without a higher bid, according to a company news release.

The sale hearing is scheduled for June 26. Milacron said it expects to complete the sale within the next month.

As previously reported, Milacron signed a definitive agreement on May 3 to sell substantially all of its assets to a company formed by affiliates of Avenue Capital Group, funds and accounts managed by DDJ Capital Management LLC and holders of roughly 93% of Milacron's 11½% senior secured notes.

The consideration to be paid for the assets will consist of repayment and/or assumption of the company's $135 million of debtor-in-possession loans, assumption of some ordinary course liabilities and additional consideration to senior secured noteholders that do not participate in the restructuring as sponsors.

Milacron, a Cincinnati-based supplier of plastics-processing technologies and industrial fluids, filed for bankruptcy on March 10. Its Chapter 11 case number is 09-11235.

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