Judge Authorizes Sale and Possible End To The Bankruptcy Turmoil 

Facing tough economic conditions, some fairly unsavory foes, and the up-hill battle to get a new variant of the Eclipse VLJ certified and produced, One Aviation may finally be ready to come in out of the cold... maybe. Just, maybe.

A once favored Chinese suitor, CitiKing, having failed to complete the purchase of the company and who is blaming the pandemic for this issue, failed to convince BK Court Judge Christopher Sontchi to forbid the sale of the company to another party after One Aviation sought other purchasers when CitiKing drug their feet just a bit too long -- or so One Aviation felt. Late last week, they got the go-ahead to seek another purchaser, though one has been in the wings for a while, and is reportedly prepared to undertake the sale, in whole, ASAP.

So... in late September, in US Bankruptcy Court in Wilmington, DE, the company is expected to be sold to SEF OA LLC, a recently formed Delaware limited liability company that, that has been courting One Aviation recently, with a parent relationship with SE Falcon -- whose primary efforts lie in real estate.

A Sale Hearing will take place on September 29, 2020, at 1:00 p.m. (Eastern Time), though a few intervening deadlines, for objections and the like, may cause that date to slip. However; 'The debtors seek to sell all or substantially all of the Debtors’ assets (collectively, the “Seller Assets”) to the Buyer free and clear of Liens or encumbrances as set forth in the Purchase Agreement pursuant to section 363 of the Bankruptcy Code.' -- so if this sale proceeds as noted, it's for the whole ball of wax, and could put One Aviation back in the airplane business.

Judge Sontchi's 22 page ruling seems to suggest that the extraordinarily convoluted bankruptcy processes that One Aviation has been involved in, for an extended period of time, may finally at an end. The process was made particularly involved by efforts of some members of the Creditor's Committee, and other parties, to either seek control or break the company up.

It's been an extremely difficult road thus far, as the entity led by Alan Klapmeier seeks to get back to business, develop and certify the latest generation of Eclipse VLJs, and follow an extensive development that path he hopes will, someday, have a pivotal effect on the GA and BizAv world.

More info to follow...

FMI: www.oneaviation.aero