Blue Ridge

CASE STUDY

Appraised, purchased and disposed of all Blue Ridge’s machinery and equipment when strategic bidder failed to emerge.

Client BLUE RIDGE

By The Numbers

Blue Ridge’s lender was able to find a complete answer to its concerns surrounding a distressed borrower through Gordon Brothers’ appraisal and subsequent asset disposition support.

When Gordon Brothers issued an appraisal for carpet manufacturer Blue Ridge, it became clear to the company’s lender that Blue Ridge would not be able to withstand the economic downturn and would cease operations. The lender approached us for an equity bid liquidation proposal, which we were able to provide after an updated inspection of the Blue Ridge facilities. Standing by our appraisal from earlier that year, we issued two “open” proposals, giving the lender a chance to find a strategic buyer for the company – the most beneficial option to both the company and the lender.

When a strategic buyer failed to emerge, we purchased the assets for $2.1 million and funded at close. Drawing upon past experience in the textile industry, we leveraged an established network of dealers and end users to run a six month orderly liquidation. By reinforcing our appraisal from just a few months before with an equity bid, we provided a complex and custom solution through accurate valuation analysis and related disposition support when that need arose.