An offer of $141.5 million for Wayzata Investment Partners to acquire Foamex International was challenged by lenders who are owed $325 million dollars by Foamex, a foam manufacturer that voluntarily filed for reorganization under Chapter 11 in February, according to several media reports.
After an order from Bankruptcy Judge Kevin Carey in Wilmington, Del., the auction for the company was restarted and sale was approved to MatlinPatterson and Black Diamond, over Wayzata Investment Partners. The company was sold for $155 million on Wednesday, May 27.
Wayzata Investment Partners will become the controlling shareholder of Caraustar Industries, a manufacturer of recycled paperboard and converted paperboard products, according to a Caraustar press release on June 1.
Carustar Industries: Press Release
Packaging News: "Private equity to take over Caraustar after Chapter 11 filing"