Ormet sets bid procedures for $15.25 million sale of remaining assets

By Caroline Salls

Pittsburgh, June 10 – Ormet Corp. requested court approval of the bid procedures for the proposed sale of substantially all of its remaining assets, according to a Monday filing with the U.S. Bankruptcy Court for the District of Delaware.

CCP ORMT Acquisition, LLC will serve as the stalking horse bidder for the assets, which include the property, plant and equipment at Ormet’s Hannibal, Ohio, facility.

Indications of interest are due by noon ET on June 23, and the final bid deadline is 5 p.m. ET on June 24.

Competing bids must be more than the sum of the $15.25 million cash component of the stalking horse bid, plus the $450,000 break-up fee to be paid to CCP if it is not the high bidder and a $250,000 initial overbid.

If one or more qualified competing bids are received, the auction will be held on June 26.

Bids at auction must be in minimum increments of $250,000.

Ormet, a Hannibal, Ohio-based producer of aluminum, filed for bankruptcy on Feb. 26, 2013. The Chapter 11 case number is 13-10334.

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