Tweeter reported it has received two bids for its assets in connection with the company’s Chapter 11 reorganization efforts.
Schultze Asset Management has made a $38 million “going concern” bid for substantially all of the company’s assets. Schultze would also assume $8 million of Tweeter’s “cure costs” associated with the company’s bankruptcy proceeding, as well as provide the national specialty consumer electronics retailer with a $10 million junior debtor-in-possession line of credit. Tweeter intends to use the $10 million in new funding to purchase merchandise and for other general corporate purposes.
Schultze’s bid includes the purchase of Tweeter’s 18.75 percent interest in Tivoli Audio.
Separately, Whippoorwill Associates and Bay Harbour Management have teamed up to make a $10 million bid for just Tweeter’s Tivoli ownership interest.
Schultze Asset Management has made a $38 million “going concern” bid for substantially all of the company’s assets. Schultze would also assume $8 million of Tweeter’s “cure costs” associated with the company’s bankruptcy proceeding, as well as provide the national specialty consumer electronics retailer with a $10 million junior debtor-in-possession line of credit. Tweeter intends to use the $10 million in new funding to purchase merchandise and for other general corporate purposes.
Schultze’s bid includes the purchase of Tweeter’s 18.75 percent interest in Tivoli Audio.
Separately, Whippoorwill Associates and Bay Harbour Management have teamed up to make a $10 million bid for just Tweeter’s Tivoli ownership interest.
I don't have a whole lot to add to this, other than to reiterate that Tweeter wasn't the only CE retailer circling the drain in the past year, and won't be the last to have to restructure before Christmas, mark my words.
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1 comment:
Why is it that whenever I read another article in your blog about the imminent demise of Tweeter all I can hear running through my head is The Headstones playing "Tweeter and the Monkeyman" at kill volume levels?
"....When the walls came down,
All the way to Hell,
Never saw them when they're standing,
Never saw them when they fell...."
If you're gonna go down, go down in flames.
Shalom
*I miss working in retail electronics sales like I miss third period French in High School.*
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