NEWTON, Mass., June 15, 2023 (GLOBE NEWSWIRE) -- The Rockport Company, LLC (“Rockport” or “the Company”), a leading global footwear brand known for its superior comfort, announced that it, CB Marathon Midco, LLC, Rockport IP Holdings, LLC, Rockport UK Holdings Ltd. and CB Footwear Services, LLC have commenced voluntary proceedings under Chapter 11 of the United States Bankruptcy Code in the District of Delaware in order to review and restructure its assets for the benefit of all stakeholders and to better position the brand for future growth opportunities. As part of the case, Rockport also intends to file a motion seeking authorization to pursue an auction and sale process under Section 363 of the U.S. Bankruptcy Code. The proposed bidding procedures, if approved by the court, would require interested parties to submit binding offers to acquire Rockport’s assets.
Joseph Marchese of PKF Clear Thinking has been appointed Chief Restructuring Officer of Rockport. He brings deep experience in managing complex financial and operational restructurings, including providing interim management services to preserve and maximize value. Gregg Ribatt has resigned from his role as Chief Executive Officer of the Company and will be available to assist in an orderly transition. Many employees of Rockport are expected to continue with the Company and assist Mr. Marchese and independent advisors and professionals in Rockport’s operations during the Chapter 11 proceedings.
“The immediate relief of Chapter 11 is appropriate to provide the Company the opportunity to assess the situation and develop a process to maximize value recoveries for all stakeholders,” said Mr. Marchese. “Rockport has valuable assets that can be effectively administered in an organized joint process. I want to assure every employee, customer, creditor, contract party, investor and other stakeholders that we are going to conduct this effort with diligence, thoroughness and transparency.”
The Company currently anticipates operating “business as usual” during the Chapter 11 process and customers should see no disruption in service or product quality. Subject to court approval, Rockport will operate utilizing debtor-in-possession (“DIP”) financing, which will provide Rockport with sufficient liquidity to continue its operations during the Chapter 11 case and related sale process. In anticipation of the Chapter 11 sales process, Rockport has entered into negotiations with a potential purchaser, who has significant experience in the industry, to serve as a stalking horse bidder.
Potter Anderson & Corroon LLP is serving as legal advisors to the Company in connection with the Chapter 11 proceedings. Stifel, Nicolaus & Co., Inc. and its affiliate Miller Buckfire & Co., LLC are serving as Rockport’s investment banker and PKF Clear Thinking as its restructuring advisor.
Court filings and other information related to the Court-supervised proceedings are available at a website administered by the Company’s claims agent, Epiq, at https://dm.epiq11.com/Rockport or via phone at Toll Free: 888-565-0258 and for Non US, International: 503-660-4989.
