Judge John Gastelum signed and filed an order approving the auction sale of Modern Times on Friday, June 24. Brewery X must send the full $20 million in cash to Modern Times’ receiver Thomas Hebrank within seven days, with the sale closing no later than July 7 to 14 days after Judge Gastelum’s sale approval, per the asset purchase agreement (APA). The sale closing will be “deemed effective as of 5 p.m. Pacific Time on the day prior to the closing date,” according to the order.
Hebrank named Brewery X’s bid as the “highest and best bid” in an auction on June 17, which came under fire from another bidder.
The decision was disputed by MTD Asset Acquisition – a group referred to in the auction as the Wilmington, North Carolina-based brewery TRU Colors – which submitted a bid of $20.1 million, with a 120-day maximum closing period, and a request for Hebrank to file for Chapter 11 bankruptcy.
“All objections to the auction, sale and the sale process, if any, have been considered by the court and are overruled,” according to the sale approval order issued Friday.
