The United States Bankruptcy Court for the Southern District of Mississippi has declared that Catalyst Group Inc. is the prevailing purchaser in the auction of Franchise Services of North America’s (FSNA) wholly-owned subsidiary, Simply Wheelz LLC, which does business as Advantage Rent A Car.
Conducted in accordance with bidding procedures, the auction was approved by the Bankruptcy Court as part of the Simply Wheelz insolvency proceedings. According to FSNA, Sixt SE has been declared the back-up bidder under the bid procedures in the event that Simply Wheelz is not able to complete the sale transaction with Catalyst within the specified period of time.
Simply Wheelz hopes to complete its sale to Catalyst in the first quarter of 2014. However, FSNA cautions there are procedural matters and arrangements with third parties that will need to be completed before the sale can be consummated. Simply Wheelz filed for U.S. federal bankruptcy protection on Nov. 6, 2013.