Parmalat USA gets court-approved bidding procedures for Milk Products' Alabama business

By Jeff Pines

Washington, Aug. 5 - Parmalat USA Corp. obtained bidding procedures for the sale of its Milk Products of Alabama LLC's Alabama business, according to a Thursday order filed with the U.S. Bankruptcy Court for the Southern District of New York.

National Dairy Holdings LP is the stalking horse bidder. It is offering $19.7 million for the assets.

The filing did not give the break-up fee should National Dairy lose the auction or what increments bidders should bid.

The company asked for a $600,000 break-up fee should another bidder win the auction and, if necessary, $300,000 more to reimburse National Dairy for expenses.

The auction is scheduled for Sept. 13, if one is necessary.

A hearing on the sale is scheduled for Sept. 15.

Parmalat USA filed for bankruptcy on Feb. 24. Its Chapter 11 case number is 04-11139.

© 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.