C&D Fruit and Vegetable Co.
Grower, packer, and shipper of fresh fruits and vegetables located in Bradenton, FL.
C&D discovered that its then bookkeeper had embezzled over $1,500,000. The bookkeeper was terminated, charged, and prosecuted, but the magnitude of this loss was crippling. In order to meet upcoming planting schedules, the company had to borrow a substantial amount of money which further impacted cash flow. Ultimately after an unsuccessful attempt to sell the company, ownership decided to file for Chapter 11 protection.
The secured creditor was prepared to liquidate the assets, but agreed to give Equity Partners 60 days to market the company and solicit bids. An extensive process was conducted leading to multiple offers and culminating with an auction among qualified bidders.
Through competition the total bid value increased over 15% and the land and equipment assets were sold to separate bidders, far exceeding liquidation estimates. The bankruptcy court approved the sale and closing occurred immediately afterwards, maximizing recovery for the estate.