Hardwick Clothes rejects last minute rival offer
Hardwick will submit only CEO of 'Check Into Cash’ Allan Jones' purchase offer to U.S. Bankruptcy Court Judge Shelley Rucker for consideration at a hearing set for 9:30 a.m. Friday in federal court.
Monday, June 2nd 2014, 10:24 am EDT by
A last minute bid for America’s oldest suit maker isn’t the right fit and was rejected over the weekend.
The Chattanooga-based real estate firm of Williams and Williams Realty Services submitted a $2.1 million offer late Friday to buy the bankrupt assets of Hardwick Clothes Inc., in Cleveland, Tenn. But attorneys for Hardwick, which is operating under a reorganization plan through the federal bankruptcy court, said Williams’ bid didn’t provide enough cash and financial security in its bid to top a previous $1.9 million purchase offer from Cleveland businessman Allan Jones.
In an email to Williams released Sunday, Hardwick CEO Tommy Hopper said the Williams bid did not include the required 10 percent cash deposit and the bid “has insufficient documentation and evidence of ability to pay cash for the over bid amount.
“The commitment letter you attached is conditional and subject to a number of contingencies,” Hardwick said in an email to Williams. “As this is not a qualified bid, we will not conduct an auction on Monday, but shall instead submit the only bid, that of Jones Capital Corp, for approval on Friday.”
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