Meat and Poultry Industry News

Quantum Foods receives enhanced sale agreement approval

Schedule finalized for auction and sale

Quantum Foods LLC, a leading independent custom provider of value-added proteins, announced that it has received bankruptcy court approval of its entry into a fully-executed Asset Purchase Agreement with Raging Bull Acquisition Company LLC.  The approved agreement provides for a substantial increase in the value paid for the business of at least $6.5 million over the previous stalking horse terms.

Raging Bull, a subsidiary of funds managed by Oaktree Capital Management L.P., whose portfolio of companies also includes AdvancePierre Foods, Inc., agreed to a cash purchase price of $54 million and the assumption of up to $30.3 million in liabilities.  Closing of the sale is scheduled for April 23, 2014.

As part of the planned sale process through Chapter 11, the company will continue to solicit additional competing offers for Quantum Foods to ensure it achieves the highest and best offer for its business.  The auction will take place on April 17, 2014, with court approval scheduled on April 21, 2014 and closing set for April 23, 2014.

In addition, a secured commitment for $60 million in debtor-in-possession (DIP) financing was approved from its current lending group led by Crystal Financial LLC to fund its ongoing operations. 

Quantum Foods filed a voluntary Chapter 11 petition in the District of Delaware on February 18, 2014 to obtain the essential financing necessary to preserve continuity, to the greatest extent possible, for its customers, employees and business partners.

With DIP financing approval, the company will continue purchasing goods and services from its suppliers and to pay suppliers in the normal course for all goods and services delivered on or after the February 18, 2014 bankruptcy filings.

Quantum Foods is being advised in its restructuring by Winston & Strawn, City Capital Advisors, LLC and FTI Consulting, Inc.  Information about the Company’s Chapter 11 case can be accessed at www.bmcgroup.com/restructuring.

Source: Quantum Foods

You must login or register in order to post a comment.

Multimedia

Videos

Image Galleries

Podcasts

Brenneman analyzes Butterball’s new animal care, well-being program

Rod Brenneman, CEO of Butterball, discusses his company's new Animal Care and Well-Being Program, his company's certification by the American Humane Association and further animal-handling initiatives, all officially announced in September 2013.

More Podcasts

National Provisioner

0315np_cover.jpg

March 2015

The March 2015 issue of NP features: Ingredients: In search of the right spice; Packaging: Will solvent-based continuous printing expire?; and a new column, Get Real with Beef: Regionality brings out the best.
Table Of Contents Subscribe

Independent Processor

.

February 2015

The February issue of IP features cover story: The great speckled bird. 

Table Of Contents Subscribe

Provisioner Store

NP-SB-2014Cover.jpg
The National Provisioner Source Book

The Sourcebook is an exclusive buyer’s guide and reference tool for product and supplier information in the meat, poultry and seafood marketplace.

More Products

Sourcebook

A complete reference guide to supplies. Go to NP's Sourcebook now to check out the latest and greatest in the meat and poultry processing business.

STAY CONNECTED

Facebook icon Twitter icon  YouTube iconLinkedIn icon google +

eNewsletters

Provisioner Prime is a twice weekly electronic newsletter created by the editors of The National Provisioner. Provisioner Prime appears in your inbox every Tuesday and Thursday with a recap of the week's top news and trends. Provisioner Prime also offers you exclusive access to industry analysis, blogs, events, podcasts, videos, webinars and The National Provisioner feature articles. 

Sign up for Provisioner Prime HERE.