Motion for Asset Sale Filed by Granite City Food & Brewery, Ltd.
December 30, 2019 at 05:00 am
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Granite City Food & Brewery, Ltd. filed a motion in the US Bankruptcy Court for the sale of substantially all its assets on December 20, 2019. The debtor seeks the Court’s approval for the sale of substantially all its assets to KRG Granite Acquisition, LLC, the stalking horse bidder, for a purchase price of $7.5 million in cash pursuant to the asset purchase agreement, dated December 16, 2019. The debtor’s assets include substantially all its assets. To qualify as a qualified bidder, interested parties should submit their bids by February 6, 2020, along with good-faith deposit in the amount of 10% of the bid price and cash deposit in the amount of $0.23 million with escrow agent, Wilmington Trust, N.A. The initial minimum overbid should be at least more than $7.83 million. The debtor has scheduled an auction on February 13, 2020. At the auction, the subsequent bids would be in increments of $0.05 million. The stalking horse bidder would be entitled to a break-up fee of $0.23 million and expense reimbursement of $0.10 million in case of termination of the asset purchase agreement. The sale hearing is scheduled for February 18, 2020. The proceeds from the sale would be used to pay off the amount owed to the debtor’s pre-petition lender. The buyer is represented by Michael Kelly of Kelly Investment Group, LLC as its legal counsel.
Granite City Food & Brewery Ltd. is a casual dining restaurant company. The Company's signature dishes include Grilled Chicken and Asparagus Linguini, Barramundi Buerre Blanc and a host of other menu items, as well as burgers, flatbreads, salads and steaks. Its main menu includes starters, slider towers, homemade soups, side salads, hand-crafted burgers, signature sandwiches, entrees, steaks and entree salads. The Company also offers various brews, which are made on-site, including The Duke (Pale Ale), The Bennie (Bock), The Northern (American Lager), Zug Zwang (Vanilla Porter), Granite City Seltzer. Its seasonal brews include Hustle and Ukulele. It also provides catering and conducts private events. The Company operates approximately 30 restaurants in 13 states.