A bankruptcy court judge in Delaware approved the sale of the assets of Boater’s World, in an order dated March 20.
On March 15, Ritz Camera Centers, the parent company of Boater’s World, entered into a “stalking horse” contract with a joint venture comprising Great American Group WF, Hudson Capital Partners, SB Capital Group and Tiger Capital Group, according to court documents.
Under the terms of the baseline bid agreement, the bidder was to agree to pay the debtor a “guaranty percentage” of 30.1 percent of the aggregate retail value of the merchandise included in the sale. In exchange, the debtor agreed to pay a break-up fee of $495,000, according to court records.
The debtor conducted an auction March 17 for the assets and “after spirited bidding, spanning several hours,” a joint venture comprising Hilco Merchant Resources and Gordon Brothers Retail Partners was the successful bidder.
The successful bidder agreed to pay for the Boater’s World assets a guaranteed amount equal to 38 percent of the retail value of the merchandise included in the sale.
Ritz Camera Centers filed for bankruptcy protection last month. In court filings, Ritz says selling the business and/or assets of its Boater’s World Marine Centers is necessary to maintain Ritz’s “long-term viability and successful reorganization.”