Hobbico receives bankruptcy court OK for $25.8 million in asset sales

By Caroline Salls

Pittsburgh, April 3 – Hobbico, Inc. received court approval of the sale of its assets to Estes-Cox asset lot to Estes Industries, LLC and sale of the assets of some other debtors to Horizon Hobby, LLC, according to orders filed Monday with the U.S. Bankruptcy Court for the District of Delaware.

Estes Industries has agreed to pay $7 million for the Estes-Cox assets, plus the assumption of liabilities, and Horizon Hobby has agreed to pay $18.8 million under an asset purchase agreement reached with Hobbico, Tower Hobbies, Inc., Great Planes Model Manufacturing, Inc., Axial R/C Inc. and Arrma Durango Ltd.

Hobbico said the auctions have not yet been completed for some other lots of assets.

Hobbico is a Champaign, Ill.-based designer, manufacturer and distributor of radio control and general hobby products. The company filed bankruptcy on Jan. 10 under Chapter 11 case number 18-10055.

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