Yellow Corporation, the bankrupt trucking company, filed a motion seeking approval to sell three properties through private sales totaling $66.5 million, according to documents filed with the U.S. Bankruptcy Court for the District of Delaware.
The motion, filed on January 21, 2025 (Case No. 23-11069-CTG), details two separate asset purchase agreements: a $54.5 million deal with Central Transport, LLC for three properties (one owned and two leased) and a $12 million agreement with RAMAR Land Corporation for one owned property.
The Central Transport transaction includes properties in Memphis, Tennessee, and two California locations (Fontana and Gardena), while the RAMAR deal involves a property in Richland, Mississippi.
Yellow's attorneys argue that private sales represent the best path forward after an extensive 19-month marketing process that reached approximately 650 potential purchasers. The company's investment banker, Ducera Partners, and real estate broker, CBRE Inc., have been actively marketing these properties since July 2023.
The motion indicates that the proposed sales maximize value for the estate and creditors, following what the company describes as "hard-fought, arm's-length, and good faith negotiations" with both buyers. The deals include provisions for the assumption and assignment of certain unexpired leases to Central Transport.
The debtors are represented by Kirkland & Ellis LLP and Pachulski Stang Ziehl & Jones LLP. A hearing on the motion is scheduled with objections due by January 29, 2025.
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