May 11, 2011
The April 13 issue of The Deal features firm client Standard General Fund L.P. which was the winning bidder for the assets of children's television show producer Word World LLC. Judge Sean H. Lane of the U.S. Bankruptcy Court for the Southern District of New York in Manhattan on Wednesday, April 13, approved the $4.3 million sale of the debtor's business as a going concern to SGF. SGF provided a $1.75 million stalking-horse bid for an auction on Tuesday, April 12 but had to raise the bid several times before being declared the successful bidder. The sale closed on May 11, 2011. SGF also provided Word World with a $1.4 million debtor-in-possession loan, which was used to fund the debtor's chapter 11 case.
James M. Sullivan, a partner in Moses & Singer's Business Reorganization, Bankruptcy and Creditors' Rights, represented SGF in connection with the loan and sale transactions.