- PSL North America Seeks Chapter 11 Protection in Delaware
- June 27, 2014
- Law Firm: Morris James LLP - Wilmington Office
On Monday June 16, 2014, Bay St. Louis, Mississippi based, large diameter high pressure steel pipe manufacturer PSL - North America LLC and affiliated debtor PSL USA INC. (collectively, the "Debtors") filed chapter 11 petitions in Delaware. A copy of PSL - North America LLC’s bankruptcy petition containing a consolidated list of the largest unsecured creditors is here - http://bankruptcy.morrisjames.com/files/2014/06/PSL-North-America-LLC-petition-14-11477.pdf.
According to the petition, PSL - North America LLC estimates that it has between 100 and 199 creditors. Its assets are estimated between $50M to $100M with liabilities estimated between $100M to $500M.
In support of their chapter 11 petitions and first day motions, Debtors offered the Declaration of Brian J. Vaill (the "Vaill Declaration"). As set forth in the Vaill Declaration, Debtors’ cash and liquidity position has continued to deteriorate and Debtors’ sought to restructure their debt obligations. Debtors have identified Jindal Tubular USA LLC as a potential "stalking horse" purchaser of substantially all of their assets in exchange for aggregate consideration of cash and certain assumed liabilities totaling approximately $100M.
A motion to jointly administer the cases has been filed. The cases have been assigned to Bankruptcy Judge Peter J. Walsh. The proposed lead case number is no. 14-11477-PJW.