Judge Ruling Sets Stage for LaVigne Sale
WORCESTER, MA—With a bankruptcy judge allowing the company to continue funding employee payroll and benefit expenses pending a July 29 hearing, digital printer LaVigne Inc. is now poised to be sold, according to the Worcester Telegram & Gazette.
LaVigne, which filed for Chapter 11 protection last week, is seeking to sell its assets to a company (HubCast) that is partly owned by LaVigne chairman Toby LaVigne for $1.39 million in cash. HubCast would also assume certain LaVigne debts, according to the paper.
HubCast would reportedly serve as the stalking horse, which would set a bottom floor price and allow other potential buyers to submit competing bids. The Telegram & Gazette quoted a LaVigne lawyer as saying that three parties are interested in bidding on the company.