Advertisement

Ironclad Performance Wear Bankruptcy Plan Filed

Advertisement

Ironclad Performance Wear and its official committee of equity security holders (OECH) filed with the U.S. Bankruptcy Court a Joint Plan of Liquidation (initial draft).

According to the Plan, “The Debtors and the OCEH (collectively, the ‘Plan Proponents’) believe that the Draft Plan represents the optimal outcome for these chapter 11 bankruptcy cases….A trust (the ‘Trust’) is being established under the Plan. On the Effective Date, the Debtors and the trustee of the Trust (the ‘Trustee’) will enter into a related trust agreement (the ‘Trust Agreement’) for the benefit of the Shareholders….The Trustee will, among other things, investigate and pursue certain claims and causes of action that belong to the Estates and are assigned to the Trust for the benefit of the Shareholders. The Plan Proponents believe that Shareholders are not impaired under the Plan.”

In addition, “The Plan Proponents believe that no purpose would be served by having a disclosure statement and disclosure statement hearing because no voting on the Plan is required. The Plan Proponents are therefore requesting the Court to permit the Plan Proponents to skip the disclosure statement stage and proceed directly with a Plan confirmation hearing. That would save the Estates a significant amount of money and time. The Plan Proponents are requesting the Court to schedule a Plan confirmation hearing at the very end of January, 2018 or early February, 2018, depending upon the Court’s calendar. The Plan Proponents would like to have until December 31, 2017 to finalize the Draft Plan (and fill in the blanks) and the Trust Agreement and to effectuate service of a comprehensive notice of Plan confirmation upon all creditors and Shareholders (which service will include a copy of the actual finalized Plan itself, along with the finalized Trust Agreement, if the Court so requires).”

Read more bankruptcy news.