A SOLID BID FOR JH COLLECTIBLES EXPECTED TO BE MADE THIS WEEK
NEW YORK — A firm bid for JH Collectibles Inc. is expected this week.
JH Collectibles filed a bankruptcy petition on Oct. 4 seeking to sell the company.
Joseph S. Athanas, at Chicago-based Katten Muchin & Zavis, counsel to JH, said one suitor is “very serious,” but he declined to reveal the name.
“They’ve told us they’re going to make an offer in the next few days, and we may get additional offers,” Athanas said.
At least about 10 companies have expressed interest and signed confidentiality agreements, with the list including apparel manufacturers and investment firms, according to Athanas.
JH said Friday in a release that it “received a formal expression of interest for the purchase of its ongoing business.” The release did not reveal the suitor’s name but said it is an apparel manufacturer backed by an investment group, with resources to put out JH’s spring line. The investor intends to make offers to key senior managers, JH said.
Normand Neal, JH’s president, also said he expected other offers to be received within the next several weeks.
One suitor is believed to be Ellen Fig, a $15 million moderate sportswear firm. Officials at Ellen Fig declined comment.
JH now has until Nov. 15 to find a buyer or face liquidation. Its bankers, M&I Marshall & Isley Bank and American National Bank & Trust Co., last week gave JH a two-week extension under a financial agreement.
The bank agreement was to expire on Nov. 1 but was apparently extended after efforts by the creditors’ committee and UNITE.
“It’s an extremely attractive brand, and anyone in the industry has to be at least curious to take a look at the company,” said Noel Beasley, UNITE’s international vice president and manager of the Midwest region.