Luhrs Marine Group Files Chapter 11, Receives DIP Loan From BofA
Morgan Industries Corporation, the parent company of Hunter Marine Corporation and the Luhrs Marine Group family of boat manufacturing businesses, announced today that it and its U.S. subsidiaries (the “Company”) filed voluntary petitions for Chapter 11 business reorganization in the U.S. Bankruptcy Court for the District of New Jersey.
In conjunction with the filing, the company filed first day motions that will allow it to continue to manage operations in the ordinary course and obtained a fully committed, post-petition debtor-in-possession credit facility from Bank of America.
During the initial stages of the Chapter 11 proceedings, and as the recreational boat market and business segment continues to improve, the company will consider its strategic and transactional alternatives.
Luhrs Marine Group is being advised by Robert Hirsh and George Angelich of Arent Fox as bankruptcy general counsel; Capstone Advisory Group as financial advisors; Katz, Kane & Co. as investment bankers; and Donlin Recano & Company, as claims agent.
The company produces recreational powerboats and sailboats under the iconic brand names of Hunter Marine, Silverton, Ovation, Luhrs, and Mainship. The business reorganization is intended to bolster liquidity, fairly resolve legacy liabilities, and enable the company to focus on its most valuable business lines and assets.