BioAmber Seeks to Liquidate Assets
Having received no acceptable offers for its business by a Jul. 27 deadline, Canadian renewable chemicals company BioAmber is now seeking court approval to liquidate its assets, which include a commercial scale succinic acid plant in Sarnia, Ontario, Canada.
The company filed for bankruptcy protection in the US and Canada in May.
“We are clearly disappointed that the qualified bidders did not place an acceptable offer for BioAmber,” said CEO Richard Eno. “We will continue to be actively engaged with potential investors to seek an acceptable transaction and avoid the liquidation of the company’s assets.” The company has until Aug. 14 to conclude a transaction.
Last year, two class action lawsuits were filed in the US against BioAmber by investors claiming that the company made false and misleading statements between Dec. 23, 2016 and Mar. 16, 2017. The claimants allege it failed to disclose that an expected $2.8 million sale of succinic acid was postponed from the fourth quarter of 2016 to sometime in 2017, causing the value of their shares to drop once the news became public.