Robertshaw’s proposed credit bid sale draws pushback from Invesco

By Sarah Lizee

Olympia, Wash., May 2 – Robertshaw US Holding Corp.’s proposed sale to an informal lender group and One Rock Capital via a $273 million stalking horse credit bid has drawn an objection from Invesco Senior Secured Management, Inc., according to documents filed Wednesday with the U.S. Bankruptcy Court for the Southern District of Texas.

Invesco said One Rock is an “insider” and any purchase should be subject to heightened scrutiny and review for the “entire fairness” of the transaction.

Invesco also said that, under a super-priority credit agreement dated May 9, 2023, the debtors owe indemnity obligations for Invesco’s fees and expenses relating to an ongoing dispute.

“This obligation is secured and must be paid in cash before the proposed credit bid can be approved,” Invesco said.

Invesco also said credit bid rights are subject to the claims made in pending litigation, and if Invesco prevails, the credit bid cannot be approved.

As a reminder, Invesco also objected to the company’s bid procedures for the assets, saying they sought to “tilt the scales” in an ongoing intercreditor litigation that Invesco started in New York prior to the company’s bankruptcy filing.

Invesco had filed a lawsuit against Robertshaw in November, alleging the company violated previous facility agreements when it incurred new debt in 2023.

Robertshaw is an Itasca, Ill.-based designer and manufacturer of systems and controls used in residential and commercial appliances, HVAC and transportation applications. The company filed bankruptcy on Feb. 15 under Chapter 11 case number 24-90052.

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