Court Approves Friedman’s Auction Request

The U.S. Bankruptcy Court in Wilmington, Del., on Feb. 22 approved Friedman’s Inc.’s demand to sell the leases to its stores and other asplaces at an auction set for dossier 6, the Houston record reports.

Friedman’s and assistant Crescent Jewelers Inc., which is also under Chapter 11 protection, operate more than 470 stores across the country. 

The jewelry retailer asked for a quick sale step before its $17.5 million bankruptcy touch from Harbinger Capital Partners Master Fund I Ltd. runs out past the end of March, the originalspaper reports.

The first competing greet must exceed $500,000, the newspaper reports. The retailer and its ex cathedra committee of unsecured creditors won cloister authorization to determine the increments by which subsequent bids must increase.

Bids for the assets will be due March 3, and curious parties have through the following day to file any objections to the bids, the newspaper reports. Several landlords had objected to this timeframe, gnome it didn’t administer them sufficient time to evaluate their expected new tenants.

Bankruptcy Judge Christopher S. Sontchi will consider whether to give final approval to the alluring bidder at a interview auditory rang set for March 7, the day after the auction, the newspaper reports.

Friedman’s and Crescent filed for Chapter 11 bankruptcy on Jan. 28.

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