EYP Group receives court approval of bid procedures, stalking horse

By Sarah Lizee

Olympia, Wash., May 11 – EYP Group Holdings, Inc. received court approval of bid procedures for its assets, according to an order filed Wednesday with the U.S. Bankruptcy Court for the District of Delaware.

EYP also received court approval of a stalking horse agreement with senior secured lender Ault Alliance, Inc., a private equity firm owned by BitNile Holdings, Inc., formerly known as Ault Global Holdings, Inc.

The purchase price under the stalking horse agreement is $67.7 million, which consists of a credit bit of up to $11.75 million, consisting of the amount under the company’s $5 million debtor-in-possession facility and the full amount of the debt owed under the company’s senior secured facility, with the remainder of the consideration consisting of cash and assumed liabilities.

Under the bid procedures, bids are due by 4 p.m. ET on June 3, an auction, if needed, will be held on June 8, and a sale hearing will take place on June 22.

The minimum initial overbid is set at $500,000, with minimum overbid increments set at $250,000.

Bid protections under the stalking horse agreement include a $2 million breakup fee and an expense reimbursement of up to $900,000.

Albany, N.Y.-based EYP is an integrated design firm specializing in higher education, health care, government and science & technology. It filed bankruptcy on April 24 under Chapter 11 case number 22-10367.

© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere. For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.