New Bidders Emerge as One Aviation Auction Looms

 - November 9, 2020, 9:33 AM

MOA Corp. and Nautical Hero Group have entered the fray for the assets of bankrupt One Aviation ahead of a planned sale to AML Global Eclipse, a U.S.-based subsidiary of international fuel provider AML Global. That auction is currently scheduled to happen on Tuesday.

In a status hearing late last week before the U.S. Bankruptcy Court, One Aviation counsel Chris Dickerson said MOA “already provided a deposit and…executed a purchase agreement that increased the consideration significantly” above AML's proposed $5.25 million price tag for assets related to the Eclipse 500 program.

NHG offered $750,000 more than that amount, though its deposit had not been received as of the hearing. According to Dickerson, the funds, which he said came from China, were due to be available in time for the hearing.

As for AML Global Eclipse, Dickerson said the entity recently deposited its full bid amount in escrow. That demonstrates the company’s readiness to fulfill its obligations, claimed AML attorney Gary Kaplan, as does its plan to retain several dozen furloughed, non-management Eclipse employees.

Kaplan also questioned the efficacy of MOA’s bid, noting a prior deposition revealed it "was one of the financing sources of the SE Falcon bid that failed,” and further stated One Aviation asked AML to continue as a backup bidder if the competing bids fell through.

Terming that “completely unacceptable,” Kaplan asserted any further delays pose, “significant risk…to the value that our client has ascribed to [Eclipse]” and that AML reserved the right to pull its bid entirely.