Boscov's granted court approval of bid procedures for asset sale

By Jennifer Lanning Drey

Portland, Ore., Oct. 2 - Boscov's, Inc. was granted court approval of the bidding procedures for the proposed sale of substantially all of its assets, according to a Thursday filing with the U.S. Bankruptcy Court for the District of Delaware.

Regio BDS, LLC is the stalking horse bidder. The purchase price is $11 million in cash plus assumption of liabilities.

If Regio is not the high bidder, Boscov's will pay it a $4 million break-up fee.

Competing bids will be due by 4 p.m. ET on Oct. 15, and an auction has been scheduled for Oct. 20.

Competing bids must be for an amount greater than the stalking horse bid, plus the amount of the break-up fee, plus $250,000.

Subsequent bids must be for at least $250,000 more than the previous bid.

A hearing for final approval of the sale is scheduled for Oct. 21.

Boscov's, a Reading, Pa.-based regional department store chain, filed for bankruptcy on Aug. 4. Its Chapter 11 case number is 08-11637.

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