The sole bidder in the bankruptcy auction for Open Range Communication’s assets has backed out of purchasing the broadband company’s assets, and liquidation is likely, according to court documents.
, a small Minnesota company, had offered a $2 million bid for the Greenwood Village-based company.
The auction took place Monday, but in a filing with the U.S. Bankruptcy Court in Wilmington, De., Open Range said: “The buyer has advised the debtor that they will not be proceeding with the purchase of substantially all of the debtor’s assets in accordance with the Asset Purchase Agreement.”
At today’s hearing on the sale proceeds, Open Range said it would provide the court with its plan for “an orderly liquidation.”
Open Range filed for Chapter 11 bankruptcy on Oct. 6, declaring it had about $114 million in assets and $110 million in debts. Open Range also received a $267 million federal loan — with a balance of $73.5 million — and a $100 million commitment from One Equity Partners.
Open Range, which provides high-speed wireless Internet access to 26,000 subscribers in 12 states, selected as the “stalking horse” bidder.
Ann Schrader: 303-954-1967 or aschrader@denverpost.com.
