Kidde-Fenwal files bid procedures for assets, eyes Jan. 18 auction

By Sarah Lizee

Olympia, Wash., Nov. 17 – Kidde-Fenwal, Inc. is seeking approval of bid procedures for its assets, according to a motion filed Thursday with the U.S. Bankruptcy Court for the District of Delaware.

The company is planning to sell its operating business, including the Kidde Fire Systems business line and the Fenwal Controls business line, to a third party and use the sale proceeds to pay legitimate claims.

Kidde-Fenwal said that since the petition date, there has been significant interest expressed by third parties in acquiring all of the debtor’s assets.

The debtors’ investment banker, Guggenheim Securities, LLC, launched a broad marketing process, including reaching out to about 200 counterparties and negotiating roughly 100 non-disclosure agreements with potential interested parties.

The company is proposing a stalking horse designation deadline of 5 p.m. ET on Jan. 5, a competing bid deadline of 5 p.m. ET on Jan. 11, an auction on Jan. 18, and a sale hearing on Jan. 24.

A hearing on the bid procedures is scheduled for Dec. 7.

The industrial fire detection and suppression company is based in Ashland, Mass. The company filed bankruptcy on May 14, 2023 under Chapter 11 case number is 23-10638.

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