New Chapter 11 Filing - Hooper Holmes Inc. (d/b/a Provant Health)

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Hooper Holmes Inc. (d/b/a Provant Health)

8/27/18

Kansas-based Hooper Holmes Inc. ($HPHW), a provider of comprehensive health and wellbeing programs, e.g., biometric screening services, flu shots, lab testing and more, filed for bankruptcy in the Southern District of New York. The company does business as Provant Health Solutions LLC ("PHS), an entity it merged with as recently as 2017. And that is part of the problem: the company incurred tens of millions in debt over the last few years in connection with the PHS merger and a prior acquisition of Accountable Health Solutions Inc., a provider of, among other things, telephonic health coaching and wellness portals. 

The company will use the bankruptcy process to effectuate a sale of substantially all of its assets to a stalking horse bidder, Summit Health Inc., for $27mm in cash and the assumption of certain liabilities. The company's prepetition secured lenders will finance the cases via a proposed $13.6mm DIP credit facility. 

  • Jurisdiction: S.D. of New York (Judge Drain)
  • Capital Structure: See below.   
  • Company Professionals:
    • Legal: Foley & Lardner LLP (Richard Bernard, Timothy Mohan, Jill Nicholson, Geoff Goodman, Michael Riordan, John Melko) & Halperin Battaglia Benzija LLP (Christopher Battaglia)
    • Financial Advisor: Phoenix Management (James Fleet, Albert Mink)
    • Investment Banker: Raymond James & Associates Inc. (Geoffrey Richards)
    • Claims Agent: Epiq Bankruptcy Solutions LLC (*click on company name above for free docket access)
  • Other Parties in Interest:
    • Term Lender: SWK Funding LLC
      • Legal: Holland & Knight LLP (Arthur Rosenberg)
    • Stalking Horse Bidder: Summit Health Inc., a subsidiary of Quest Diagnostics Inc.
      • Legal: Bass Berry & Sims PLC (Paul Jennings) & Weil Gotshal & Manges LLP (Gary Holtzer, Jessica Liou, John Conte)
Source: First Day Declaration

Source: First Day Declaration

New Chapter 11 Filing - ABT Molecular Imaging Inc.

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ABT Molecular Imaging Inc. 

6/13/18

ABT is the designer, manufacturer and distributor of a Biomarker Generator. Our eyes glazed over just reading the filing papers on this one so we're going to outsource here, spare ourselves some time, and spare ourselves some serious boredom. 

The bottom line is that the company lost more money ($5.5mm) than it made in sales ($5.4mm). The company has $30mm of liabilities, all in, and assets with a net book value of merely $2.5mm. The disparity stems, in most respects, from the debt on the company's balance sheet. The purpose of the filing is to address the balance sheet and/or pursue a sale of the business. The company's secured lender, SWK Funding LLC, has agreed to fund a DIP credit facility over the course of the case and sponsor a sale through a chapter 11 plan if, during the bankruptcy process, the company is unable to find another suitable purchaser. 

  • Jurisdiction: D of Delaware (Judge Silverstein)
  • Capital Structure: $9.6mm first lien debt (SWK Funding LLC), $16.1 second lien debt (SWK Funding LLC)  
  • Company Professionals:
    • Legal: Bayard PA (Justin Alberto, Erin Fay, Daniel Brogan, Greg Flasser)
    • Investment Banker:: SSG Capital Advisors LLC (J. Scott Victor, Neil Gupta, Michael Gunderson)
    • Claims Agent: Garden City Group (*click on company name above for free docket access)
  • Other Parties in Interest:
    • Secured Lender: SWK Funding LLC
      • Legal: Holland & Knight LLP (Brian Smith, Brent Mcilwain) & (local) Young Conaway Stargatt & Taylor LLP