Advertisement

AgFeed Industries Statement of Support Filed

Advertisement

AgFeed Industries’ official committee of equity security holders filed with the U.S. Bankruptcy Court a statement in support of AgFeed Industries’ motion for entry of an order approving the sale of all or substantially all of the assets of AgFeed USA and its Debtor subsidiaries. The committee explains, “The Equity Committee supports the Debtors’ sale to the Prevailing Bidder. Despite being formed the Friday evening before the Monday, August 26, 2013 Auction, the Debtors quickly provided information to the Equity Committee and allowed access to their professionals including Keith A. Maib, the Debtors’ Chief Restructuring Officer. The members of the Equity Committee and their proposed professionals previously participated in the Ad Hoc Committee of Equity Security Holders (the ‘Ad Hoc Committee’). The Ad Hoc Committee, among other things, indentified potential bidders, valued the Debtors’ assets and reviewed publicly available information on the Debtors and the industry. These efforts of the Ad Hoc Committee enabled the Equity Committee to quickly and diligently digest and analyze the previously confidential information regarding the competitive bids and the Debtors’ marketing efforts. Based upon the information provided and the discussions with the Debtors’ professionals, the Equity Committee is confident that the Debtors conducted a robust marketing process which resulted in an additional qualified bid for the purchase of substantially all of the assets of AgFeed USA and its debtor subsidiaries. Moreover, the Auction was a success and resulted in an increase of the net bid value by over $12 million. The Equity Committee believes that the terms, conditions and form of the Prevailing Bid were the highest and best offered at the Auction.”

More on AgFeed Industries, Inc.