Arandell gets approval to sell assets to Saothair, Farragut affiliate

By Sarah Lizee

Olympia, Wash., Nov. 25 – Arandell Holdings, Inc. received court approval to sell its assets to Arandell Acquisition Co., LLC, according to an order filed Wednesday in the U.S. Bankruptcy Court for the District of Delaware.

As previously reported, the debtors entered into a stalking horse asset purchase agreement with Arandell Acquisition, which was formed by Saothair Capital Partners and Farragut Mezzanine Partners III, LP, one of the debtors’ junior secured creditors, for the purpose of making the proposed acquisition.

Under the stalking horse agreement, the closing consideration is roughly $31,325,000, consisting of an aggregate cash amount equal to the sum of the DIP loan payment amount estimated to be $20.5 million, plus a credit bid by Farragut in the amount of $2.4 million and Arandell Acquisition’s assumption of liabilities.

The motion said the stalking horse agreement preserves the company’s business as a going concern.

The debtors are seeking to close the sale on or before Dec. 4.

Menomonee Falls, Wis.-based Arandell operates a web offset printer. The company filed Chapter 11 bankruptcy on Aug. 13 under case number 20-11941.

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