Joel R. Glucksman
Partner
201-896-7095 jglucksman@sh-law.comFirm Insights
Glacial Energy Holdings files for protection, seeking sale
Author: Joel R. Glucksman
Date: April 24, 2014
Key Contacts
Back
Glacial Energy Holdings, an electricity and natural gas provider in 20 U.S. states, filed for protection under Chapter 11 of the bankruptcy law on April 10, according to Reuters. The company intends to sell its assets to pay its debts. It attempted, unsuccessfully, to sell its assets last month, but the deal fell through. Glacial Energy Holdings is now saying that it has reached a deal with creditor Vantage Commodities Financial Services I LLC, in which the lender will acquire some of its assets. Details of the deal were not immediately available.
The Sandwich, Mass. company has listed approximately $1 billion in assets and over $1 billion in liabilities, the factor that caused the previous assets sale to fall through, according to Bloomberg. Eighteen of the company’s affiliates also sought protection under the bankruptcy law.
Glacial Energy Holdings was formed in 2005 to supply energy in deregulated states to residential and commercial customers, the news source explained. Randy Lennan, CEO of affiliate Glacial Energy VI LLC, said in a court filing that increased competition reduced revenue and caused the company to default on some debt.
Last year, the company settled with the Texas Public Utility Commission to resolve alleged regulatory violation, Bloomberg reported. Violations included misrepresentations in its applications and over billing of customers. Former CEO and majority owner Gary Mole was forced to give up control of the company as part of the settlement.
The company is seeking to borrow up to $122 million from Vantage, pending court approval, to help fund operations as its case makes its way through bankruptcy court.
- Practices: Bankruptcy & Creditors' Rights, Corporate Transactions & Business, Bankruptcy Litigation
- Locations: Red Bank, NJ, New York City, Little Falls, NJ
No Aspect of the advertisement has been approved by the Supreme Court. Results may vary depending on your particular facts and legal circumstances.
Related Posts
See all
Failing to Comply With NJ Rent Control Exemption May Prove Costly
What Developers Need to Know About New Jersey’s Rent Control Exemption Law to Ensure Entitlement to Exemption for Newly Constructed Multi-family Housing. A property owner in Jersey City is facing a $400 million federal class action lawsuit alleging that the landlord did not follow the procedural steps required to be eligible for exemption from local […]
Author: Patrick T. Conlon
Crypto Securities Law: When Tokens Become Investment Contracts
The application of traditional federal securities laws to crypto assets continues to evolve. In some cases, the Securities and Exchange Commission (SEC) considers tokens and other digital assets to be securities. This makes them subject to federal securities law, including the Securities Act of 1933 and the Securities Exchange Act of 1934. This classification has […]
Author: Bryce S. Robins
The Due Diligence Process for NY Condominiums and Cooperatives
While the New York City real estate market can be extremely competitive, moving too quickly often backfires. Before purchasing a condominium or cooperative in New York City, it is important to do you homework. Purchasing property in NYC can involve a dizzying number of legal issues. These include condo and co-op rules, rent restrictions, and […]
Author: Jesse M. Dimitro
Smart Contract Legal Issues: Drafting Agreements for Blockchain
Smart contracts feature a unique blend of legal agreement and technical code. This innovation has the potential to reshape how business is conducted. At the same time, smart contract legal issues around enforceability, jurisdiction, identity, and compliance are common. The legal framework for these self-executing agreements is still evolving. What Are Smart Contracts? Smart contracts, […]
Author: Bryce S. Robins
Are Stay Interviews the Key to Retaining Top Talent?
Retaining top talent continues to be one of the greatest challenges facing employers today. Even in an employer’s market, the loss of a key employee can disrupt operations and result in significant costs. While compensation plays a role, long-term retention often depends on workplace culture, communication, and employee engagement. One increasingly popular strategy for improving […]
Author: Angela A. Turiano
Why Secured Transactions Are Important
Secured transactions form the backbone of a wide range of business dealings, including business loans, mortgages, and inventory financing. Because the stakes are often high and relatively minor oversights can have drastic consequences, lenders and borrowers should thoroughly understand how to form an enforceable security agreement that protects their legal rights. What Is a Secured […]
Author: Dan Brecher
No Aspect of the advertisement has been approved by the Supreme Court. Results may vary depending on your particular facts and legal circumstances.
Sign up to get the latest from our attorneys!
Explore What Matters Most to You.
Consider subscribing to our Firm Insights mailing list by clicking the button below so you can keep up to date with the firm`s latest articles covering various legal topics.
Stay informed and inspired with the latest updates, insights, and events from Scarinci Hollenbeck. Our resource library provides valuable content across a range of categories to keep you connected and ahead of the curve.