Milacron agrees to sell assets to company formed by its creditors for US$175 mln

07-May-09
After filing for bankruptcy in March this year, plastics processing equipment manufacturer and industrial fluids company Milacron Inc, has agreed to sell substantially all of its assets to a company formed by its creditors for about US$175 mln. The deal awaits approval from the bankruptcy court, which may solicit other bids for the assets. The creditor group, that holds about 93% of the company's 11.5% senior secured notes, includes affiliates of Avenue Capital Group, certain funds and accounts managed by DDJ Capital Management LLC and certain other entities. In the absence of other qualified bids by June 24, Milacron will request the bankruptcy court to approve the sale after two days. If even one qualified bid is received, the company will hold an auction on July 17 and sell its assets to the qualified bidder submitting the highest and best offer. In return for Milacron's assets, the purchasers will, among other things, repay or assume Milacron's debtor-in-possession loan facilities, assume certain of the company's other liabilities. Milacron also said that the buyers will provide "additional consideration" to noteholders who are not part of the purchasing syndicate. Its two biggest creditors, New York-based Avenue Capital Group and Boston-based DDJ Capital Management, specialize in financially troubled companies.
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Reclamax single step plastic recycling machine

Reclamax single step plastic recycling machine