Theseus Strategy Group LLC acted as the restructuring consultant to SportsDirect.com Retail Ltd. in its acquisition through a “363 bankruptcy process” of assets of Eastern Outfitters LLC for a disclosed approx. $105 million in consideration.
The transaction was effected in a uniquely risk-managed and expedited manner, with SportsDirect, among other things, (1) initially acquiring Eastern Outfitters’ second lien debt, (2) providing pre-filing rescue financing, (3) serving as “stalking horse bidder” and (4) providing debtor in possession (DIP) financing to refinance outstanding 1st lien and fund additional working capital and bankruptcy expenses.
The transaction permitted Eastern Outfitters, who owns Eastern Mountain Sports and Bob’s Stores, to avoid an impending complete liquidation. SportsDirect is the UK’s number 1 sports retailer, trading on the London Stock Exchange under the symbol SPD.