The U.S. Bankruptcy Court approved Overseas Shipholding Group’s motion, pursuant to Sections 102(1) and 105(a) of the Bankruptcy Code, shortening notice for orders (i)(a) authorizing the Debtor sellers entry into a purchase agreement, (b) authorizing and approving bidding procedures and bid protections, (c) approving notice procedures, (d) setting a date for a sale hearing and (ii) authorizing and approving the sale of certain of the Debtors’ vessels free and clear of encumbrances. As previously reported, “Following extensive negotiations, the Debtors determined that they would be unable to consensually restructure the terms of the CEXIM Facility in a way that was acceptable to the Debtors and their creditors so as to retain the CEXIM Vessels in their fleet….Subject to the results of the sale process and Auction, the Purchase Agreement reached with the Stalking Horse Bidder following comprehensive arm’s-length negotiations serves these goals….[T]he Stalking Horse Bidder has not only established the standard against which future bids will be evaluated, but has ensured that the Debtors can effectively liquidate the entire CEXIM Vessel fleet in a process that has been vetted with CEXIM and the Debtors’ major creditor constituents.”
About Brandy Chetsas
Brandy L. Chetsas is editor in chief at Bankrupt Company News. She joined New Generation Research, Inc. in 1998. As Director of Strategic Content, she leverages 20+ years of communications and project management experience for the distressed investing sector--with particular expertise on corporate restructurings via Chapter 11. Brandy began her career writing for a law enforcement-related publication and teaching English courses at numerous colleges in the U.S. and abroad.