Greenwood Village-based Molycorp Inc. has failed to attract any offers for the entire company as a first-round bidding deadline approaches, according to people with knowledge of the matter.
The potential buyers, mostly rare-earths producers and processors based outside the U.S., are instead looking to take on part or all of the bankrupt rare-earths miner’s overseas business, said the people, who asked not to be named because the process isn’t public.
Those bids do not include its , the people said. Offers could still emerge in a later round.
The sale, which was announced Nov. 3 and is part of a reorganization plan, has been tumultuous, with
The contending creditors, which are negotiating with the company in mediation sessions ordered by the judge, argued that the proposal gives veto power to Oaktree Capital Management LLC, Molycorp’s senior lender, and makes it impossible to persuade potential buyers to join an auction.
The company, which is advised by Miller Buckfire & Co. and AlixPartners LLP, said last month that it would sell the entire company or certain assets, or reorganize the business if a sale doesn’t take place.
Oaktree Payout
Jim Sims, a spokesman at Molycorp, and Alyssa Linn, a spokeswoman Oaktree at Sard Verbinnen & Co., declined to comment.
after a collapse in prices for rare earths, which are chemical elements used in technology such as smartphones, electric cars and wind turbines.
