Hamon Holdings Chapter 11 Filing Update:
Hamon Holdings Corporation
, a Somerville, N.J.-based subsidiary of Belgian company Hamon & Cie
, which according to its website “offers innovative, effective and flexible solutions using the latest technology and environmentally friendly methods, to produce cleaner energy and improve air quality,” filed for chapter 11 protection on Sunday, April 24, in the Bankruptcy Court for the District of Delaware, along with several affiliates. The petitions report up to $50 million in both assets and liabilities. The debtors are represented by Duane Morris as counsel. BMC Group is the claims agent. The case number is 22-10375. The case has been assigned to Judge John T. Dorsey.
Hamon & Cie (International) SA indirectly or directly owns 100% of the equity of Hamon Holdings Corp and each of the affiliated debtors, including Hamon Custodis, “one of the largest chimney construction companies in the world,” Hamon Deltak, which focuses on heat recovery equipment, Hamon Research Cottrell, a supplier of pollution control technologies worldwide, and Research Cottrell Cooling, a counter flow and cross flow cooling tower company.
According to a press release
issued by the Hamon Group on April 13, “Hamon & Cie (International) SA, Hamon Thermal Europe SA and Hamon Research-Cottrell SA have decided to file for bankruptcy on 11 April 2022 before the Enterprise Court of Walloon Brabant.” The release also says that “[s]everal investors were able to confirm and formalise their strong interest in one or more of the Hamon Group's assets, particularly with regard to the developments carried out by the Group relating to carbon capture and energy transition activity, as well as the perimeter of activities and operations located in France.” Further, the release adds that “the Company has also received two indicative offers from investors in relation to a restricted perimeter of the Hamon Group, freed from the less performing affiliates and for which the steps to liquidate them have been initiated.” However, despite “these objective advances, some of which only materialised at the beginning of April, the banks considered that they did not have sufficient elements to (i) release certain securities allowing to proceed with the envisaged restructuring, (ii) reconsider the decision to suspend the issuance of new bank guarantee lines in favour of the Group companies and (iii) revoke the unilateral termination of the factoring agreement.” The Belgian entities are not debtors in these chapter 11 cases, and the chapter 11 debtors make no reference to the Belgian insolvency proceedings in the petitions.
Reorg First Day is monitoring this case and will provide further coverage as appropriate.