Stamp Farms wins preliminary bid procedures OK; next hearing Jan. 28

By Caroline Salls

Pittsburgh, Jan. 18 - Stamp Farms, LLC received preliminary court approval of some of the bid procedures for the proposed $22.8 million sale of its commercial grain farming business in southwestern Michigan, according to a Friday filing with the U.S. Bankruptcy Court for the Western District of Michigan.

As previously reported, the company has entered into a stalking-horse asset purchase agreement with Boersen Farms, Inc.

Friday's order did not include approval of the stalking horse agreement. A hearing on that agreement, objections to the bid procedures and approval of portions of the procedures not addressed in Friday's order will be held on Jan. 28.

The court ordered Stamp Farms to file a proposed allocation of the total consideration to be paid under the stalking horse agreement by Jan. 22. The allocation must be grouped by creditors asserting a lien on the assets and must indicate which debtor is selling each of the assets.

Under the bid procedures approved Friday, bid packages for the bulk sale auction are due by Feb. 1. The company must notify qualified bidders of their status by Feb. 4.

The bulk sale auction will be held on Feb. 5. The sale hearing is scheduled for Feb. 7.

At the sale hearing, the company can ask the court to approve a sale of the remaining assets at a parcel sale auction to be held between March 1 and March 15.

Stamp Farms, a Decatur, Mich., commercial grain farming business, filed for bankruptcy on Nov. 30. Its Chapter 11 case number is 12-10410.

© 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.