Freeborn, representing the official committee of unsecured creditors, successfully helped facilitate the sale of broom purveyor Harper Brush Works' operating assets to Cequent Consumer Products during the course of Harper's chapter 11 bankruptcy proceedings, which are pending in the U.S. Bankruptcy Court for the Southern District of Iowa.
Freeborn worked closely with local counsel Joseph A. Peiffer of Day Rettig Peiffer, the debtor and its senior secured lender to review and negotiate bids such that they could be qualified to participate in auction. Five bidders actively bid in the two-hour auction on November 19, 2012, which started with a $1.74 million stalking horse bid from QEP Co. Inc. After almost 30 rounds of bidding, Cequent was selected as the winning bidder, offering $3.45 million for Harper’s operating assets.
Harper Brush Works filed for chapter 11 protection on May 29, 2012, after the loss of business from several of its major customers caused a liquidity crisis. Harper is a century-old, family-owned, Fairfield, Iowa-based, iconic American manufacturer of household, commercial, industrial and custom brushes, push brooms, mops, buckets, dustpans, housewares, cleaning tools and related products. Harper was founded 112 years ago in Fairfield, Iowa and employs approximately 70 employees.