Retail

Out-of-court wind down of operations and assets

As part of an out-of-court restructuring, Force 10 was retained to advise this pet care company that offers a wide range of products and services to promote healthy pet lifestyles. This involved recommendations to improve the company's capital structure, enhance cash flow, and set the stage for future growth.

Force 10 began this engagement approximately six months before the Chapter 11 filing, analyzing this sports retailer's long-term viability. Working with management and the sponsor, we determined the best course was to liquidate the company's entire store fleet for the benefit of its creditors. The successful liquidations were completed very early in the Chapter 11 process, and a plan was promptly negotiated with creditors and confirmed shortly thereafter.

Force 10 Partners was the financial advisor to the Official Committee of Unsecured Creditors of Serta Simmons Bedding, delivering significant outcomes for its constituents. These included expedited full payment to go-forward creditors and enhanced recoveries for others. Key contributions involved assessing business plan feasibility, investigating pre-filing transactions like the "Serta Uptier," and conducting solvency analyses. This work culminated in the confirmation of a consensual restructuring plan on June 6, 2023, ensuring optimized recoveries for stakeholders.

When this fast-fashion retailer succumbed to the pressure of omnichannel competitors, Force 10 executed an orderly liquidation to maximize recovery for creditors during Chapter 11.

As inancial advisor and investment banker, Force 10 guided this chain retailer of luxury candies to a successful Plan of Reorganization. This included securing a Debtor-in-Possession (DIP) loan and a stalking horse bid. Additionally, Force 10 conducted a Section 363 process and successfully confirmed a Plan of Reorganization for this luxury candy brand. Throughout the process, Force 10 skillfully navigated a complex capital structure and balanced the diverse priorities of various stakeholders.

Force 10 acted as the Debtors' financial advisor in the Chapter 11 bankruptcy of this national retail chain specializing in closeouts. The engagement involved supporting a partial self-liquidation, facilitating the Section 363 sale of approximately 197 stores, and managing the wind-down of remaining operations and assets. Additionally, Force 10 provided critical financial analyses and participated in resolving a contentious dispute among secured creditors over credit bid rights, the valuation of pre-petition collateral, DIP loan terms, bid procedures, and the distribution of cash proceeds.