- Steel Horse Automotive announced today that the company
has sold its remaining operating divisions, Mid America
Automotive Products and Steel Horse Automotive, which includes
the operating assets of recently acquired Fibernetics Molded
Products, to Berryman Products Inc. for $5.65 million with
no contingencies. The transaction was approved today by
the U.S. Bankruptcy Court for the Central District of California
in Los Angeles, a significant step in the company's emergence
from Chapter 11. The sale is expected to be finalized on
or before December 27, 2002.
The Steel Horse sale was conducted via private auction at
the Los Angeles offices of the company's law firm, Riordan
& McKinzie. The auction, held Wednesday, December 18,
featured competitive bidding by several qualified buyers.
"Our intention has been to get this company out
of Chapter 11 as quickly as possible, and this sale accomplishes
that goal," says Mark Barbeau, interim chief executive
officer of Steel Horse Automotive. "Steel Horse
has built a reputation for quality products, and we know
the companies will be in good hands with Berryman. As we
look forward to the completion of the Chapter 11 process,
we would like to thank our customers, our suppliers, and
our employees for all of their support throughout the process."
"We are thrilled that the court has approved the
purchase of the Steel Horse companies and we look forward
to continuing our tradition of being a superior supplier
to the automotive aftermarket," says Maurice Blankenship,
president of Berryman Products Inc. "The product
lines included in this acquisition will expand our offerings
which we believe will bring significant value to our customers."
Steel Horse Automotive and its affiliates
filed voluntary petitions for reorganization under Chapter
11 of the Bankruptcy Code on September 6, 2002, in the U.S.
Bankruptcy Court for the Central District of California
in Los Angeles.
The investment banking firm of Murphy Noell Capital, LLC,
which was retained by Steel Horse Automotive to advise the
company on its strategic alternatives while operating in
Chapter 11, handled the sale for the company. Murphy Noell
also represented the company in the sale of Nifty Products
in November 2002.