Kona Grill, Inc. filed a motion in the US Bankruptcy Court for the sale of substantially all its assets on August 30, 2019. The debtor seeks the Court’s approval for the sale of substantially all its assets to Kona Grill Acquisition, LCC, in a private sale, for a purchase price of $35.8 million which includes $25 million in cash and $10.8 million of assumed liabilities pursuant to the asset purchase agreement, dated August 30, 2019. The debtor’s assets include its remaining 27 restaurants and substantially all of the debtors’ other business assets and property associated with such restaurants along with assumed liabilities. Purchaser shall deposit into an escrow with counsel of the Sellers, an amount equal to $0.25 million. The sale hearing is scheduled for September 24, 2019. Closing shall be no later than October 11, 2019. The proceeds from the sale would be used to pay off the amount owed to the debtor’s prepetition, postpetition lender.