Lowenstein Represents Aceto Corporation and Its Subsidiaries in Chapter 11 Filing, in Proposed $338 Million Sale of Chemical Business Assets to New Mountain Capital, and in $138 Million Sale of Pharmaceutical Assets to Shore Suven Pharma
Aceto Corporation (Aceto) entered into a stalking-horse asset purchase agreement with an affiliate of New Mountain Capital to sell Aceto’s chemicals business assets for gross proceeds of $338 million in cash, plus the assumption of certain liabilities and subject to certain adjustments, on a cash-free and debt-free basis. Lowenstein also represented Aceto’s subsidiary, Rising Pharmaceuticals, Inc. (Rising), in entering into a stalking-horse asset purchase agreement with Shore Suven Pharma to sell Rising’s pharmaceutical assets for gross proceeds of $19 million in cash and the assumption of over $120 million of certain liabilities.
Aceto is an international company engaged in the development, marketing, sale, and distribution of human health products, pharmaceutical ingredients, and performance chemicals. New Mountain Capital is a leading, growth-oriented investment firm with over $20 billion in assets under management. Shore Suven Pharma is a joint venture of Shore Pharma and Suven Life Sciences Limited.
The sales will be conducted under Section 363 of the U.S. Bankruptcy Code, subject to court-approved bidding procedures, potential receipt of higher and better offers at auction, and approval by the court.
Lowenstein Sandler advised Aceto
PJT Partners LP is acting as the company’s financial advisor and investment banker, and AP Services, an affiliate of AlixPartners LLP, is serving as Aceto’s Chief Financial Officer and advisor.
Lowenstein advised Aceto with a team including Kenneth A. Rosen (Picture), Steven E. Siesser, Paul Kizel, Michael S. Etkin, Jeffrey Cohen, Wojciech F. Jung, Philip J. Gross, Michael Savetsky and Michael Papandrea.
Involved fees earner: Jeffrey Cohen – Lowenstein Sandler LLP; Michael Etkin – Lowenstein Sandler LLP; Philip Gross – Lowenstein Sandler LLP; Wojciech Jung – Lowenstein Sandler LLP; Paul Kizel – Lowenstein Sandler LLP; Michael Papandrea – Lowenstein Sandler LLP; Kenneth Rosen – Lowenstein Sandler LLP; Michael Savetsky – Lowenstein Sandler LLP; Steven Siesser – Lowenstein Sandler LLP;
Law Firms: Lowenstein Sandler LLP;
Clients: Aceto Corp.;