Alliance Entertainment brought an action against Diamond comic distributors and related companies, after Diamond has deposited his intention to sell the company to the joint rescue tenderer, Universal Distribution, LLC, which had submitted a hunting horse offer before the bankruptcy deposit, and Neca and Wizkids Parent Ad Populum, LLC (see “Tenderer“) Instead of Alliance Entertainment, who was declared a winning tenderer during the auction (see”Alliance to acquire“).
The prosecution requires a preliminary injunction with a temporary prohibition prescription prohibiting Diamond from selling its assets to any business other than Alliance Entertainment, and an audience on its complaint. The complaint requires an order forcing Diamond to sell its assets at Alliance Entertainment; Offer the alliance its costs and costs for the prosecution, and “other and additional relief”. Alliance asked for an accelerated audience on the complaint.
Diamond filed a request last week asking the court to approve the sale of the company’s assets to the joint rescue bid, declaring that he had now determined that the rescue offer was greater than the offer he had determined was the winner on the day of the auction. The backup offer, which includes modifications to the offer that was their final offer on the day of the auction, uses formulas based on Diamond finances to determine the price, which is not specified as a single number. Diamond said that the decision to change the winner of the auction had been made in consultation with the investment bankers Raymond James, their professionals, the committee of unmarked creditors and their bank.
According to the complaint, the prosecution was born from the refusal “… inexplicable of Diamond to … consume the sale of their assets with the bidders selected during an auction they led.” An alliance file includes the contract for the purchase of negotiated assets, which includes a number of changes negotiated after the auction, which increased the total price to $ 85,368,053, or $ 14.4 million more than the amount of the auction.
As a note, this amount is considerably higher than the amount that the diamond revealed as its responsibilities in a previous deposit, although this number has probably changed losses and operating costs.
The trial alleges that before and after the auction, Diamond had favored the universal advertising / advertising tenderer, and that after the auction, Diamond “… negotiated in secret with Universal / Ad Populum” and “never engaged in” Good Faith “or” Arm-Length “negotiations with Alliance.” He offers a detailed calendar of negotiations around the asset purchase agreement in support of her allegations, argues that she has accepted all the changes requested by Diamond since the auction and says that it is ready to close at higher price.
Thus, in summary, Diamond filed a file to change his determination of the winning tenders during the auction at Universal / AD Populum, and submitted a proposed asset purchase agreement signed by all the parties according to this determination. Alliance filed his agreement to gain acceptance of her asset purchase contract and continued to force the question. An audience on requests is scheduled for Monday.