NEW YORK Ormet Corp. is seeking court approval to hold an auction to sell its Ohio smelter after securing a stalking horse bid of $15.25 million, according to court documents filed June 9.
The bankrupt aluminum producer has selected CCP ORMT Acquisition LLC as the stalking horse bidder for its plant in Hannibal, Ohio, after an agreement with another interested buyer fell through, the company said.
CCP ORMT, based in Wilmington, Del., was established May 30.
"Due to timing, the extent of the negotiations, and the uncertainty of finalizing negotiations with other potential purchasers as a higher and better valueand in an effort to maximize value for the benefit of the estatesthe debtors believe that entering into the stalking horse agreement at this time is in the best interest of the debtors estates and all parties in interest in these proceedings," the company said in the filing.
Hannibal-based Ormet has requested that a hearing to consider the sale be held June 30, according to the filing.