The receivership of Erik Buell Racing continues to go on, as the company’s second round on the auction block ended with no fruitful resolution.
It was hoped that Monday would see the announcement of a Erik Buell Racing’s new owner, after the auction on Thursday seemed to show that a new bidder, Liquid Asset Partners LLC, had snatched up the American motorcycle effort and had plans to liquidate EBR’s assets.
However, it appears that the winning bid on Erik Buell Racing’s liquid assets has been contested by previous auction-winner Bruce Belfer and potential-bidder US Heritage Powersport. Accordingly, a new date in court set for January 14th, 2016 and formal motions to be submitted by January 4th, 2016.
This means that the ongoing saga and future of the Erik Buell Brand will continue, well into the start of the new year.
For those following EBR’s receivership process, you will remember that Bruce Belfer won the first auction with the winning bid of $2.25 million.
However, Belfer was unable to secure the financing for that amount, after it became clear that the capital that was being used to secure the loan was actually bought by Hero MotoCorp, when the Indian brand bought EBR’s unfinished consulting materials for $2.8 million.
This oversight sent Erik Buell Racing back to the auctioning block, where it will most likely go once again…for the third time. Once again it will be interesting to see who shows up to purchase the beleaguered American brand, and for what price. Stay tuned.
Source: Wisconsin Court Service
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