Rerefiner Evergreen Oil and parent Evergreen Environmental Holdings designated Clean Harbors Inc. as initial winning bidder for Evergreens assets, according to California bankruptcy court documents.
Evergreen Oil, along with parent and sole shareholder Evergreen Environmental Holdings, filed for Chapter 11 on April 9, and established procedures to sell their assets, calling for the sale to close on or before July 8 this year.
The companys investment banker received numerous bids on or about May 7. According to court records, after engaging in extensive discussions with the parties submitting final bids, the companies and their investment banker determined Clean Harbors should be designated the initial winning bidder and act as the stalking horse bidder for the assets, subject to bankruptcy court approval. Other potential buyers may still submit competing bids.
Evergreen and Clean Harbors have elected to seek approval of the sale of the Evergreen stock to Clean Harbors (or to a successful overbidder) as part of the reorganization plan, with Clean Harbors (or a successful overbidder) serving as sponsor of the plan. They agreed to implement certain bidding procedures establishing rules and procedures for other parties to tender competing bids to serve as sponsor for the plan. The next court hearing, including approval of the bidding procedures, is scheduled for July 11.
Norwell, Mass.-based Clean Harbors acquired Safety-Kleen – including its rerefineries in East Chicago, Ind., and Breslau, Canada – for $1.25 billion in December 2012. Clean Harbors Catalyst Technologies and Clean Harbors Environmental Services were among the unsecured creditors in Evergreens bankruptcy filing.
For details on Evergreens bankruptcy filing, view the April 24 Lube Report article