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Wheeler’s Re-Emerging Much the Same
Wheeler’s Building Materials owners Mark Manis and Jim Manis have formed a new company to purchase substantially all assets of the Georgia-based building supply dealer and window manufacturer, which filed for bankruptcy in February 2007.
The brothers resigned as Wheeler’s officers upon the bankruptcy filing. Their new company, Home Team Builder Services, will buy substantially all assets of Wheeler’s in a transaction approved by the bankruptcy court and supported by the secured lender and the Committee of Unsecured Creditors. Home Team’s offer was subject to any higher and better bids prior to approval by the bankruptcy court, the company notes.
Under the terms of the transaction, Home Team will acquire, among other things, the machinery, equipment, inventory, certain rolling stock and the intangible property of Wheeler’s, including the name, in consideration for a cash payment of $3 million to the bankruptcy estate and the secured lender. No liabilities of Wheeler’s will be assumed in the transaction. The resulting new company will operate under the Wheeler’s name.
Wheeler’s originally filed bankruptcy in response to a “drastic loss of sales and liquidity problems caused by the downturn in the residential building market,” according to the company. During bankruptcy proceedings, it continued sales of building material supplies at distribution centers in Rome, Jasper, Austell, Cartersville and Lawrenceville, Ga.; as well as production of windows and doors and trusses at facilities in Rome. A number of other distribution centers have been closed.
Under Home Team’s ownership, the brothers report that the company will continue to manufacture windows and doors, as well as trusses, and will provide building materials to builders from locations in Rome, Cartersville, and Jasper.
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