Deadline Set for Delphi Bidders; Auction Scheduled
By Michelle Krebs July 9, 2009
The four-year bankruptcy saga of auto parts supplier Delphi Corp. has taken lots of twists
and turns, and now the bankruptcy court has set a Friday deadline for the various interested parties to bid on the company that nobody was interested in earlier.
Carl Icahn's Federal-Mogul Corp. and billionaire investor Wilbur Ross, who has pumped significant funds into auto supply companies, are among those interested.
The new bidders have to make a better offer than the $3.6 billion offer already on the table that is backed by General Motors, the former parent company of Delphi's parts operations, the U.S. Treasury Department and Los Angeles-based private-equity firm Platinum Equity. Under that deal, Platinum Equity, which has worked with Delphi throughout much of its lengthy bankruptcy proceedings, would take over four Delphi plants and the company's global assets.
The bankruptcy judge in the Delphi case said bids submitted by Friday will be examined and an auction will be held July 17, at which time bidders can up their offers.
LEAVE A COMMENT