Pareteum Corporation filed a motion in the US Bankruptcy Court for the sale of its substantially all its assets on May 15, 2022. The debtor seeks the Court's approval for the sale of its substantially all its assets to Circles MVNE Pte. Ltd. and Channel Ventures Group LLC, the stalking horse bidder, for a purchase price consisting of a credit bid of approximately $60 million and assumption of liabilities, dated May 15, 2022.

To qualify as a qualified bidder, interested parties should submit their bids by June 13, 2022, along with good-faith deposit in the amount of 10% of the bid price. The debtor has scheduled an auction on June 15, 2022. At the auction, the subsequent bids would be in increments of termination payment plus $1 million.

The stalking horse bidder would be entitled to a break-up fee of 1.9% of purchase price and expense reimbursement of $1.5 million in case of termination of the asset purchase agreement. The sale hearing is scheduled for June 22, 2022. The proceeds from the sale would be used to pay off the amount owed to the debtor's pre-petition lender.

Channel Ventures Group, LLC is represented by Alec Ostrow of Becker, Glynn, Muffly, Chassin & Hosinski LLP as its legal advisor, Circles MVNE Pte. Ltd. is represented by Jamila Justine Willis of DLA Piper LLP (US) as its legal advisor and the seller is represented by Thad Wilson of King & Spalding LLP.