It looks like multititle business stationery products mailer Taylor Corp. has won the auction to purchase bankrupt gift cataloger Lillian Vernon Corp.
Michael D. Muoio, Lillian Vernon’s CEO told the Virginian-Pilot the tentative sale must be approved by U.S. Bankruptcy Court in Wilmington, DE. The court is scheduled to hear the matter on Thursday.
Virginia Beach, VA-based Lillian Vernon, which has been owned by Sun Capital Partners in May 2006, filed for Chapter 11 bankruptcy protection on Feb. 20.
It reached a tentative agreement last month to sell the business to Lemont, IL-based cataloger Creative Catalogs Corp.—which owns personalized gifts merchant Personal Creations.com–for a base price of $9.3 million. Lillian Vernon officials were granted permission to hold an auction to gauge buying interest in the company.
Mankato, MN-based Taylor Corp. includes the Current, G. Neil, Paper Direct, and Sa-So catalog titles; its direct sales are about $700 million.