GL Brands, Inc. filed a motion in the US Bankruptcy Court for the sale of its certain assets on March 15, 2021. The debtor seeks the Court’s approval for the sale of its certain assets to Merida Capital Holding, the stalking horse bidder, for a purchase price consisting of a credit bid in the amount of the DIP Loan and the Pre-Petition Secured Debt, (b) a cash payment in the estimated amount of $75,000 for the satisfaction of administrative claims not already paid under the DIP Loan, (c) a cash payment of $0.10 million for distribution to the holders of GUC and (d) the subordination of approximately $6 million in general unsecured claims held by Merida affiliates in connection with the Merida bid, hence the estimated value of $1.33 million, not including the subordination of the Merida affiliated unsecured claim. The debtor’s assets include all equity interests of the debtor. The deadline to name stalking horse bidder is March 31, 2021. To qualify as a qualified bidder, interested parties should submit their bids by April 9, 2021, along with good-faith deposit in the amount of $0.13 million. The initial minimum overbid should be at least $0.08 million more than the initial purchase price. The debtor has scheduled an auction on April 14, 2021. At the auction, the subsequent bids would be in increments of $0.05 million. The stalking horse bidder would be entitled to a break-up fee of $0.03 million in case of termination of the asset purchase agreement. The sale hearing is scheduled for May 1, 2021.