Cataloger/retailer Guitar Center announced that its Nov. 22 agreement to purchase substantially all the assets of Dennis Bamber, which operates as multititle mailer The Woodwind & Brasswind, has been terminated upon approval by the Federal Bankruptcy Court of an alternative stalking-horse bidder for the business. The court set Jan. 24, 2007 as the date for the auction of substantially all the assets of Woodwind & Brasswind, which sells musical instruments to consumers, professional musicians, and schools. Woodwind & Brasswind had filed for bankruptcy protection on Nov. 21.
In a stalking-horse action, a bankrupt company selects a “stalking horse” from a pool of bidders to make the initial bid. Once the stalking-horse makes its bid, other potential buyers can submit competing bids. The process was created so that bidders can’t lowball the purchase price.
Woodwind & Brasswind’s catalogs include Music 123 Drum Catalog, Inspirational Pro Audio Visual, and Gifts of Note.
Related articles: