June 1, 2010
Curtis Closes on Acquisition of Chapter 11 Debtor Atrium Corporation for Plan Investor and Golden Gate Private Equity, Inc.
New York, June 1, 2010 – A Curtis team composed of restructuring, corporate and finance attorneys achieved a substantial victory for its clients, Atrium Window Holdings, LLC, as Plan Investor, and Golden Gate Private Equity, Inc., as the majority member of the Plan Investor, by closing on the acquisition of the majority of the equity in Atrium Corporation. The transaction closed less than 48 hours after confirmation of Atrium’s plan of reorganization in its Chapter 11 cases pending before Bankruptcy Judge Brendan L. Shannon of the United States Bankruptcy Court for the District of Delaware.
Pursuant to the confirmed Chapter 11 plan, the Plan Investor and Golden Gate, in its capacity as the majority member of the Plan Investor, effectuated the Debtors’ restructuring efforts through an equity investment of $174.8 million in exchange for 92.5% of the new common stock of reorganized Atrium. The Plan Investor also obtained $324 million in new debt commitments for a total consideration of $498.8 million. The Debtors used the proceeds of the cash investment along with the proceeds of the new debt commitments to satisfy the recoveries provided for under the Debtors’ Second Amended Joint Plan of Reorganization.
The Curtis team representing the Plan Investor and Golden Gate in these matters consisted of partner Steven J. Reisman and associates Lara R. Sheikh and Christina M. Manthei from the Restructuring and Insolvency group, partners Matias A. Vega and Valarie Hing and associate Douglas Glazer from the Corporate group, and partner Howard Goldwasser and associates Danny Phillips and Stefano de Stefano from the Finance group.