The US Bankruptcy Court gave an order approving the bidding procedures relating to the sale of substantially all the assets of NewAge, Inc. on September 21, 2022. The Court approved the asset purchase agreement between the debtor and DIP Financing LLC, the stalking horse bidder, for the sale of substantially all its assets. To qualify as a qualified bidder, interested parties should submit their bids by October 6, 2022, along with good-faith deposit in the amount of 10% of the cash purchase price.

The initial minimum overbid should be at least $0.05 million more than the initial purchase price. The debtor has scheduled an auction on October 7, 2022. 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 2.5% of purchase price and expense reimbursement of up to $0.38 million in case of termination of the asset purchase agreement. The sale hearing is scheduled for October 11, 2022. The sale is expected to close by October 13, 2022.