Aiwa Corporation filed for bankruptcy protection under Chapter 11, Subchapter V of the U.S. Bankruptcy Code after an unsuccessful and contested foreclosure sale in a state receivership proceeding in Texas. Hilco Streambank ran a robust bankruptcy sale process that not only maximized value for the estate, but also provided certainty and assurance of a properly conducted process adhering to Bankruptcy Code standards.
Aiwa is an iconic audio electronics brand that was launched in Japan in 1951. For 70 years, it has been recognized as a global leader of high-quality audio products, including speakers, headphones, and stereo systems. It is a staple among audiophiles because of its relentless dedication to quality audio products. The sale of Aiwa Corporation’s operating assets involved a deep understanding of its territorial intellectual property rights throughout the U.S. and Europe and its global relationship between unaffiliated brand rights-holders throughout the rest of the world.
Over an expedited, 5-week marketing process, Hilco Streambank successfully identified 36 interested parties who conducted diligence on the opportunity. The assets included internationally registered trademarks, patents, domain names, social media accounts, finished goods, related contracts, and eCommerce storefronts. Our marketing efforts resulted in the debtor conducting an auction, which drove up the bidding to $6,225,000 in cash at closing, plus a $1.5 million future payment. In November 2021, Aiwa closed a transaction with Aiwa Acquisitions, LLC, an affiliate of Sakar International.