Savient Pharmaceuticals bid procedures OK'd; can also sell Irish units

By Jim Witters

Wilmington, Del., Nov. 4 - Savient Pharmaceuticals, Inc. received authority to liquidate its non-debtor Irish subsidiaries and approval of bid procedures for the sale of substantially all of its U.S. assets during a Nov. 4 hearing in the U.S. Bankruptcy Court for the District of Delaware.

Savient attorney David M. Turetsky said the sales will be conducted "on a schedule that minimizes cash burn and maximizes value to the debtor's estate."

The company needed approval from the U.S. bankruptcy court before Irish authorities would permit the liquidation of Savient's insolvent subsidiaries there, Turetsky said.

Bid procedures

As previously reported, US WorldMeds, LLC subsidiary Sloan Holdings CV is the stalking horse bidder in the proposed sale of Savient's assets.

Sloan agreed to acquire substantially all of the assets of Savient, including all Krystexxa assets, for about $55 million.

Under the bidding procedures approved Nov. 4,

• The bid deadline is 5 p.m. ET on Dec. 6;

• An auction, if necessary, will be conducted at 10 a.m. ET on Dec. 10;

• The sale hearing is scheduled for 9:30 a.m. ET on Dec. 13; and

• If Sloan is not the successful bidder at auction, Savient will pay it a $1.65 million break-up fee and reimburse up to $750,000 of its sale-related expenses.

The sale is expected to close by the end of 2013.

Savient, an East Brunswick, N.J., pharmaceutical company, filed for bankruptcy on Oct. 15. The Chapter 11 case number is 13-12680.

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