Icon Aircraft last week announced it had secured a base-line bidder under Chapter 11 bankruptcy protection, which will set the value of the company as it prepares for sale.
SG Investments America set the "stalking horse" bid, which other potential suitors will need to beat in order to buy the company out of Chapter 11, which it entered voluntarily in early April.
Icon Aircraft believes the bid will maximise the value of the company for stakeholders and smooth the path out of bankruptcy protection.
“The decision to designate a stalking horse bidder underscores our commitment to ensuring the long-term viability of our business,” said Jerry Meyer, CEO of Icon Aircraft.
“We believe that this proactive approach will help employees, partners and customers have confidence in our ongoing operations, enabling the company to achieve the best possible outcome.
“We are grateful for the continued support of our owners, partners and the aviation community as we navigate this challenging period.
“With the assistance of our stalking horse bidder and the expertise of our professional team of attorneys and advisors, we are confident in our ability to deliver a stronger and more resilient company to a successful purchaser following the court-supervised sale process.”
California-based Icon manufactures the up-market Icon A5 high-wing amphibious LSA, as well as a certified version.
According to the company, the Chapter 11 filing, which permits companies to continue operating without creditors forcing liquidation over unpaid bills, is part of a strategy to attract new ownership.