Advertisement

Noranda Aluminum Holding Agreement Approved

Advertisement

The U.S. Bankruptcy Court issued an order approving Noranda Aluminum Holding’s motion for an order approving its entry into a stalking horse agreement and authorizing bid protections in connection with the sale of its “New Madrid Assets” located in Missouri and associated with the Debtors’ upstream business.

As previously reported, “MFR II is the stalking horse purchaser for the acquired assets associated with production of the primary aluminum and conversion of the molten primary aluminum into value-added products. Cash consideration of thirteen million Dollars ($13,000,000) (the ‘Cash Consideration’), subject to a purchase price reduction for the price allocated to certain real property as set forth in the Stalking Horse Agreement… The parties are seeking approval of a ‘breakup fee’ of 3% of the Cash Consideration, plus reimbursement of Buyer’s out of pocket expenses, capped at $130,000, for actual and documented out-of-pocket fees and expenses, including fees and expenses of legal advisors, financial advisors and accountants, incurred by Buyer in connection with the Stalking Horse Agreement and the transactions contemplated thereby, in the event that Seller consummates an Alternative Transaction.”

Read more Noranda bankruptcy news.