The saga involving the American high-end tube component manufacturer Audio Research Corporation may have a happy ending by next week.
In the latest update by David Gordon, Audio Research Managing Director of Sales and Brand Ambassador, in a post 12 hours ago on the Fans of Audio Research Corporation Facebook page, he said: “We are talking with prospective buyers as our normal operations continue. I expect that we will have a decision next week, so stay tuned.”
Rumours about the fate of Audio Research starting swirling around in the industry after it was revealed that on April 4 Audio Research in the State of Minnesota District Court, County of Hennepin Fourth Judicial District, voluntarily agreed to assign its assets to a receiver, Lighthouse Management Group Inc.
According to Nathanu on What’s Best Forum, Lighthouse Management is in the business of working with troubled businesses and regularly acts as a receiver. This process is an alternative to a bankruptcy filing in federal bankruptcy court.
“The receiver has complete control and power of attorney over the assets of Audio Research. It is likely that, to maximize proceeds, the receiver will seek to sell the entirety of the assets and business (including goodwill) as a going concern; if that effort is successful, the business may continue under the ownership of the buyer. It is also possible that Audio Research already has a transaction agreed upon in place for the sale of its assets and business (including goodwill) as a going concern to a ‘white knight’ and the filing with state court is intended to facilitate that transaction without an involuntary bankruptcy filing.”
On May 1, David Gordon posted in several web forums including the Fans of Audio Research Corporation FB page that “Trent Suggs was relieved of control of Audio Research and we have been working with individuals to purchase the company: we expect to have a new owner very soon. There will be continuity as production, engineering, purchasing, service, and critical personnel will remain working for Audio Research.”