Lordstown Motors on Track for Oct. 31 Closing of Assets Sales
LORDSTOWN, Ohio – The bids to buy the assets of Lordstown Motors Corp. appear to be in the hands of the bankrupt company’s lawyers and restructuring advisers – assuming there are bids.
What is known, at the close of business Monday, is that Lordstown Motors did not extend the bid deadline for a third time, like it did Sept. 12 and then again Sept. 19.
The third bid deadline was 5 p.m. Friday.
The deadline for Lordstown Motors to notify all qualified bidders of the highest or best-qualified bid is Sept. 26, according to court documents.
An auction, if needed, would proceed as scheduled Sept. 27. A court hearing on the sale remains on track for Oct. 18, with the closing set for Oct. 31.
In earlier court filings, Lordstown Motors said it had received 13 indications of interest that could culminate in assets sales.
“Four [indications of interest] are for the acquisition of all or substantially all the company’s assets. Four others are for a subset of the debtor’s assets. And five are from liquidators who would like to buy some or all the assets either for an upfront cash fee or for a fee and a shared participation in the proceeds from their sale,” stated a declaration by Jeffrey Finger, managing partner at the Jefferies LLC restructuring firm retained by Lordstown Motors.
Lordstown Motors filed for Chapter 11 bankruptcy protection on June 27 in U.S. Bankruptcy Court in Delaware. The case is being heard by Judge Mary F. Walrath.
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