Investor Group to Buy Milacron Assets
Milacron Inc., supplier of extrusion equipment and other plastics-processing technologies, plans to sell all of its assets to a company formed by Avenue Capital Group, DDJ Capital Management LLC and other investors for approximately $175 million. The sale follows a March Chapter 11 bankruptcy filing and is subject to court approval.
Officials report that the definitive agreement reached is substantially the same as announced when the company filed for Chapter 11 protection in Federal Bankruptcy Court in the Southern District of Ohio. The acquisition is part of a comprehensive financial restructuring, intended to permit Milacron to continue as a going concern with substantially less debt.
“This is a significant milestone in our restructuring process,” says Dave Lawrence, president and CEO. “Since we began this reorganization process on March 10th, we have experienced a great outpouring of support from across the industry. This, coupled with the faith our investors have in Milacron’s brands, products and people, positions us well for sustained long-term success moving forward.”
Milacron officials are asking the court to approve the sale by the end of June, if no other qualified bids are received. Information about the Chapter 11 case, including access to court documents, can be obtained at www.kccllc.net/milacron or through a link on the company Web site.