Sungard announces agreement to sell some assets after shifting auction, sale hearing

By Sarah Lizee

Olympia, Wash., Aug. 1 – Sungard AS announced in a news release Monday that, subject to court approval, it has entered into an asset purchase agreement for 365 Data Centers to acquire a majority of its U.S. colocation and network business.

This news came after the company moved some dates related to the bid procedures for its assets, according to a notice filed Friday with the U.S. Bankruptcy Court for the Southern District of Texas.

The company said it canceled the auction with respect to its colocation services, network services and workplace services assets. The auction with respect to its other assets was adjourned to a date to be determined.

The company said Monday it is continuing to evaluate potential sales or other restructuring alternatives with respect to its cloud and managed Services and recovery services operations.

The date of the sale hearing has also been moved to a date to be determined.

As previously reported, the company entered into a restructuring support agreement that contemplates either a sale of all or some subsets of the debtors’ assets or the equitization of the debtors’ prepetition funded debt through a Chapter 11 plan.

The consenting lenders established a reserve price for each group of the debtors’ assets and have also set a cap on any credit bid they submit. The minimum overbid has been set at $1 million.

Sungard is a Wayne, Pa.-based provider of disaster recovery services, managed IT services, information availability consulting services and business continuity management software. The company filed bankruptcy on April 11 under Chapter 11 case number 22-90018.

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