Joel R. Glucksman
Partner
201-896-7095 jglucksman@sh-law.comFirm Insights
Taylor-Wharton International LLC files for Chapter 11 Bankruptcy Protection
Author: Joel R. Glucksman
Date: December 9, 2015
Key Contacts
Back
Taylor-Wharton files Chapter 11
Taylor-Wharton International LLC, a major designer and manufacturer of cryogenic equipment, announced that it had filed for Chapter 11 bankruptcy protection. According to a Law 360 report, the company plans to hold an asset auction sale with Haier Medical and Laboratory Products USA Inc. serving as the stalking horse bidders for $24 million in cash, with the winning bidders assuming most of Taylor-Wharton’s debt liabilities.
Taylor-Wharton International falls into debt
In its bankruptcy petition, Taylor-Wharton stated the fact that it had not fully recovered from its previous Chapter 11 bankruptcy filing in 2009. In turn, the company could not effectively streamline its operations to achieve profitability, despite multiple new capital infusions and the sale of a portion of its subsidiaries. According to Law 360, Taylor-Wharton listed debt totals between $100 million and $500 million and assets within the same range in its court papers.
After it emerged from bankruptcy in 2010, the company operated one U.S. manufacturing plant located in Alabama, as well as subsidiary operations in China, Malaysia, Slovakia, Australia and Germany. There is no word yet on whether these overseas operations will continue after the company’s auction sale.
Taylor-Wharton’s reorganization plan
The company has filed the usual first-day motions, including requests to the court to continue to compensate employees and vendors. These also include motions to block utilities from halting service and to continue management of company bank accounts.
Taylor-Wharton also stated that the company intends to sell its primary manufacturing plant in Alabama in addition to other assets. Further, the company will file a motion to establish the bidding process for a stalking horse sale with Haier Medical providing the initial offer for the $24 million CryoScience division. The winning bidder will also enter an agreement to assume ownership of a portion of Taylor-Wharton’s debt load.
The firm’s objective is to sell all of its remaining assets during the bankruptcy period. This will also involve equity in the company’s foreign subsidiaries, which are not associated with Taylor-Wharton’s debt liabilities.
Further, Taylor-Wharton plans to use debtor-in-possession financing with a revolving facility up to $13.8 million. This financing will be used to maintain operations for its 164 employees.
Are you a creditor in a bankruptcy? Have you been sued by a bankrupt? If you have any questions about your rights, please contact me, Joel Glucksman, at 201-806-3364.
- Practices: Bankruptcy & Creditors' Rights
No Aspect of the advertisement has been approved by the Supreme Court. Results may vary depending on your particular facts and legal circumstances.
Related Posts
See all
Does Your Homeowners Insurance Provide Adequate Coverage?
Your home is likely your greatest asset, which is why it is so important to adequately protect it. Homeowners insurance protects you from the financial costs of unforeseen losses, such as theft, fire, and natural disasters, by helping you rebuild and replace possessions that were lost While the definition of “adequate” coverage depends upon a […]
Author: Jesse M. Dimitro
Understanding the Importance of a Non-Contingent Offer
Making a non-contingent offer can dramatically increase your chances of securing a real estate transaction, particularly in competitive markets like New York City. However, buyers should understand that waiving contingencies, including those related to financing, or appraisals, also comes with significant risks. Determining your best strategy requires careful analysis of the property, the market, and […]
Author: Jesse M. Dimitro
Fred D. Zemel Appointed Chair of Strategic Planning at Scarinci & Hollenbeck, LLC
Business Transactional Attorney Zemel to Spearhead Strategic Initiatives for Continued Growth and Innovation Little Falls, NJ – February 21, 2025 – Scarinci & Hollenbeck, LLC is pleased to announce that Partner Fred D. Zemel has been named Chair of the firm’s Strategic Planning Committee. In this role, Mr. Zemel will lead the committee in identifying, […]
Author: Scarinci Hollenbeck, LLC
Novation Agreement Process: Step-by-Step Guide for Businesses
Big changes sometimes occur during the life cycle of a contract. Cancelling a contract outright can be bad for your reputation and your bottom line. Businesses need to know how to best address a change in circumstances, while also protecting their legal rights. One option is to transfer the “benefits and the burdens” of a […]
Author: Dan Brecher
What Is a Trade Secret? Key Elements and Legal Protections Explained
What is a trade secret and why you you protect them? Technology has made trade secret theft even easier and more prevalent. In fact, businesses lose billions of dollars every year due to trade secret theft committed by employees, competitors, and even foreign governments. But what is a trade secret? And how do you protect […]
Author: Ronald S. Bienstock
What Is Title Insurance? Safeguarding Against Title Defects
If you are considering the purchase of a property, you may wonder — what is title insurance, do I need it, and why do I need it? Even seasoned property owners may question if the added expense and extra paperwork is really necessary, especially considering that people and entities insured by title insurance make fewer […]
Author: Patrick T. Conlon
No Aspect of the advertisement has been approved by the Supreme Court. Results may vary depending on your particular facts and legal circumstances.
Sign up to get the latest from our attorneys!
Explore What Matters Most to You.
Consider subscribing to our Firm Insights mailing list by clicking the button below so you can keep up to date with the firm`s latest articles covering various legal topics.
Stay informed and inspired with the latest updates, insights, and events from Scarinci Hollenbeck. Our resource library provides valuable content across a range of categories to keep you connected and ahead of the curve.
Taylor-Wharton International LLC files for Chapter 11 Bankruptcy Protection
Author: Joel R. Glucksman
Taylor-Wharton files Chapter 11
Taylor-Wharton International LLC, a major designer and manufacturer of cryogenic equipment, announced that it had filed for Chapter 11 bankruptcy protection. According to a Law 360 report, the company plans to hold an asset auction sale with Haier Medical and Laboratory Products USA Inc. serving as the stalking horse bidders for $24 million in cash, with the winning bidders assuming most of Taylor-Wharton’s debt liabilities.
Taylor-Wharton International falls into debt
In its bankruptcy petition, Taylor-Wharton stated the fact that it had not fully recovered from its previous Chapter 11 bankruptcy filing in 2009. In turn, the company could not effectively streamline its operations to achieve profitability, despite multiple new capital infusions and the sale of a portion of its subsidiaries. According to Law 360, Taylor-Wharton listed debt totals between $100 million and $500 million and assets within the same range in its court papers.
After it emerged from bankruptcy in 2010, the company operated one U.S. manufacturing plant located in Alabama, as well as subsidiary operations in China, Malaysia, Slovakia, Australia and Germany. There is no word yet on whether these overseas operations will continue after the company’s auction sale.
Taylor-Wharton’s reorganization plan
The company has filed the usual first-day motions, including requests to the court to continue to compensate employees and vendors. These also include motions to block utilities from halting service and to continue management of company bank accounts.
Taylor-Wharton also stated that the company intends to sell its primary manufacturing plant in Alabama in addition to other assets. Further, the company will file a motion to establish the bidding process for a stalking horse sale with Haier Medical providing the initial offer for the $24 million CryoScience division. The winning bidder will also enter an agreement to assume ownership of a portion of Taylor-Wharton’s debt load.
The firm’s objective is to sell all of its remaining assets during the bankruptcy period. This will also involve equity in the company’s foreign subsidiaries, which are not associated with Taylor-Wharton’s debt liabilities.
Further, Taylor-Wharton plans to use debtor-in-possession financing with a revolving facility up to $13.8 million. This financing will be used to maintain operations for its 164 employees.
Are you a creditor in a bankruptcy? Have you been sued by a bankrupt? If you have any questions about your rights, please contact me, Joel Glucksman, at 201-806-3364.