Arecont Vision, the US-based megapixel camera company, has executed an asset purchase agreement with an affiliate of Turnspire Capital Partners, LLC under which Turnspire will acquire substantially all of the company’s assets. Arecont has initiated proceedings under chapter 11 of the United States Bankruptcy Code in the District of Delaware to facilitate that agreement and substantially reduce its debt.
Arecont reports that employees will be retained, customer services will continue, vendors and suppliers with valid, pre-petition trade claims will be paid in full; Arecont Vision will be debt-free; investments will be made into the development of new products; and the company will have new owners and a new Board of Directors.
Raul Calderon, Chief Operating Officer and General Manager, Arecont Vision, said: “Through this partnership, Arecont Vision is poised for growth. Reducing our debt and putting resources back into the business will ensure greater innovation, larger strategic partnerships, and a stronger company for all of our constituents. Since we began the chapter 11, operations have been running very smoothly. We are appreciative of the support of our employees, customers and vendors, and look forward to closing the sale and emerging in July a stronger, more competitive company.”
The company has also filed a bid procedures and sale motion with the Court. The Turnspire bid will be subject to an auction at which it will be subject to higher and better offers, and requires court approval. Arecont Vision has requested a bid deadline of June 29; an auction date of July 5; and a sale hearing on July 6.
Court filings as well as other information related to the restructuring are available at www.omnimgt.com/arecont or by calling the restructuring information hotline, 844-378-2736 (toll free in North America) or +1-818-906-8300 (International).
