At the end of October 2014, as insolvency administrators of Establiments Miró, we carried out the sale of the insolvent company’s production unit to the Swiss fund Springwater Capital LLC.
This transaction was successful, resulting in maintaining 476 jobs, preserving 67 stores, and bringing income of €4,505,937 for the insolvency (€3,000,000 for the price and €1,505,937 for recovering the amount of the bonds to be substituted by the purchaser).
Notably, the transaction did not include properties belonging to the insolvent company, which, having remained outside the framework of the offer, can now be disposed of under the Liquidation Plan approved, enabling the payment of a higher percentage of the claims of the insolvency.
The process was structured into two consecutive stages: the first was declared void based on the low financial value of the bids presented; however, the second was successful, as Springwater Capital LLC presented its offer and was awarded the production unit.
The sale transaction was authorized in a ruling dated September 22, 2014 (and a subsequent clarifying ruling dated October 14), handed down by Barcelona Commercial Court No. 1 hearing the insolvency.
In the second rectifying ruling, the court clarified that, although the successful bidder would not take over any labor, tax or social security debts inherent in the insolvent company, it would take over its legal position in the lease agreements (under the reform of the Insolvency Act enacted under Royal Decree-Law 11/2014, of September 5, despite not being applicable to this case).