Wire Company Holdings, Inc. (d/b/a New York Wire) and Wire Property Holdings, LLC filed chapter 11 petitions before the United States Bankruptcy Court for the District of Delaware on October 8, 2015 (lead case number 15-12097-LSS). As set forth below, the Debtors seek authority to sell substantially all of their assets.
According to the Declaration of Sandeep Gupta, the Chief Restructuring Officer of the Debtors, in Support of the Chapter 11 Petitions and First Day Pleadings, the Debtors are a world class manufacturer of wire and wire mesh products servicing a broad range of applications. Decl., para. 14. Through August 2015, the Debtors reported a net loss of approximately $3,859,000 and an adjusted net loss of approximately $3,859,000 on revenues of approximately $27,617,000 on a consolidated basis. Decl., para. 18. As of the Petition Date, the Debtors had approximately $14,642,000 in total indebtedness. Of that amount, approximately $12,207,451.02 (plus accrued interest) constitutes secured debt. Decl., para. 19.
The Debtors seek to sell substantially all of their assets, and entered into an asset purchase agreement with NYW Acquisition, LLC on October 8, 2015. Decl., at 86. The sale will be subject to higher and better offers. The sale price as set forth in the APA is $8,100,000, as adjusted pursuant to Section 3.1(b) of the APA, but not less than $7,300,000, and assumption by Purchaser of the Assumed Liabilities. Decl., para. 88. The Debtors are not seeking any first day relief as it pertains to the sale motion or approval of the bidding procedures in connection with the sale. The Debtors will request that a hearing on the proposed bidding procedures be held on October 28, 2015.
Carl D. Neff is a partner with the law firm of Fox Rothschild LLP. Carl is admitted in Delaware and regularly practices before the United States Bankruptcy Court for the District of Delaware. You can reach Carl at (302) 622-4272 or at firstname.lastname@example.org.