The US Bankruptcy Court for the District of Delaware has approved the retention of Heritage Equity Partners, to seek an immediate sale of Electric Mobile Cars, LLC (“EMC”). The court also approved a second round of funding for ch11 administration. EMC was formed in 2010 to manufacture battery powered electric" />
The US Bankruptcy Court for the District of Delaware has approved the retention of Heritage Equity Partners, to seek an immediate sale of Electric Mobile Cars, LLC (“EMC”). The court also approved a second round of funding for ch11 administration. EMC was formed in 2010 to manufacture battery powered electric vehicles (BEVs) in Dallas, Texas. A pre-production car was developed by modifying “off-the-shelf” chassis and drive train components, and using a nickel sodium battery. Numerous structural, body and chassis modifications/reinforcements were made to the vehicle (known as a glider in the battery powered vehicle industry) as per USA government crash test requirements. The final product (a BEV) is named EMC Model E36. Danny Astin of Ciardi, Ciardi & Astin, counsel for EMC explained “We recommended Heritage Equity Partners to our client for this engagement due to their ability to bring all potential offers to the table, including buyers looking to restart closed down businesses”. The company filed for ch11 bankruptcy in September of 2013, however due to lack of funding to continue development of the project, a decision was made to close the Dallas operation, and all assets have since been moved to Portland, Maine. Hank Waida, a Managing Director at Heritage Equity Partners, says that “This is a unique opportunity to purchase assets that can be used to create a fleet of battery powered electric vehicles, or for research and development in the battery powered electric vehicle space. Key personnel are available to walk a buyer through acquisition and assembly of all components needed to complete modifications.”
Company Secretary, Stephen Rasche explained “We are very impressed with the marketing efforts and level of interest generated at this point in the process”.
The auction will take place on April 9, 2014 at the offices of Ciardi, Ciardi and Astin in Wilmington, Delaware. All bids due by April 7, 2104.
Equity Partners, based in Easton, Maryland, specializes in brokering going concern sales of distressed businesses to maximize value for all stakeholders, preserve employment, and allow the community to continue to benefit from an operating enterprise.