A closed auction was Sept. 24, and a U.S. Bankruptcy Court Judge is expected to rule on the bid for the Decatur, Ala.-based retailer Sept. 27. AWG’s bid, the “stalking horse” minimum, was for $16.1 million, according to court documents.
AWG’s bid gathered a group of buyers and operators for 30 of Belle Foods’ stores, and proposes to close the remaining 13. The deal also includes an agreement to buy portions of existing inventory at a discount: produce at 50% and floral at 40%, according to the filing.
The bulk of Belle Foods’ debt is owed to the Birmingham, Ala., distribution center for Keene, N.H.-based C&S Wholesale Grocers. Belle Foods owes an estimated $38 million to C&S, and another $3 million in other claims, according to an article on AL.com.