What does the phrase stalking horse mean?

What does the phrase stalking horse mean?

A stalking-horse bid is an initial bid on the assets of a bankrupt company. The bankrupt company will choose an entity from a pool of bidders who will make the first bid on the firm's remaining assets. ... The term "stalking horse" originates from a hunter trying to conceal himself behind either a real or fake horse.

Is a stalking horse bid binding?

To compensate the stalking horse for its time and effort, certain incentives are typically negotiated, subject to bankruptcy court approval. ... That way, the debtor's agreement to bidding incentives is binding on the debtor at the time it signs the purchase agreement, not later upon bankruptcy approval of such incentives.

What is a stalking horse sales process?

A stalking horse bid is an initial proposal to buy an asset from a distressed company (most often one that is bankrupt or in bankruptcy protection). Usually, the company or its receiver will select a buyer willing to make an offer. ... This keeps lowball offers off the table and sets up a competitive bidding process.

Who owns the stalking horse?

Andrew Carter and Jesse Selke from the Delia Foley's Group, as well as industry veteran Jason Zink, are the new owners of Stalking Horse at 26 E. Cross St. in Federal Hill. The trio recently started renovations on the top two floors of the approximately 10,000 sq.

How do you use stalking horse in a sentence?

He doesn't actually want to be elected—he's just a stalking horse who's trying to see how fractured our party really is. 2. Something that conceals a person's true intentions. I'm afraid that this deal is just a stalking horse for a more nefarious long-term plan.

Can a creditor be a stalking horse bidder?

Stalking horse can require its version of an asset purchase agreement. Whether a bid is qualified for participation. Whether the bidding process is open or silent. The terms a secured creditor may be allowed to credit bid.

What is a covering bid?

noun. the act of tendering an artificially high price for a contract, on the assumption that the tender will not be accepted.

What is a naked auction?

Now, Kodak's failure to secure a stalking horse for its digital capture and imaging patents has the company preparing to hold a “naked” auction, in which no suitor makes an opening bid prior to the start of the auction.

What does turn up one's nose mean?

Definition of turn one's nose up : to refuse to take or accept something because it is not good enough I offered the cat some food, but it turned its nose up and walked away.

What does turn a hair mean?

: to remain calm even though something frightening or shocking has happened Most people would have been very nervous in that situation, but she never turned a hair.

What does stalking horse mean?

• Stalking horse. A stalking horse is a figure that tests a concept with someone or mounts a challenge against someone on behalf of an anonymous third party. If the idea proves viable or popular, the anonymous figure can then declare its interest and advance the concept with little risk of failure.

What is a stalking horse asset purchase agreement?

• A stalking horse offer, agreement, or bid is an attempt by a bankrupt debtor to test the market for the debtor's assets in advance of an auction of them. The intent is to maximize the value of its assets or avoid low bids, as part of (or before) a court auction.

What is a stalking horse asset purchase?

• Stalking horse asset purchase agreement: Stalking horse agreement definition. As a refresher, the stalking horse bid process is, an effort by a company to look at the marketplace ahead of an auction. The intent is to make the most of the value of its assets. This is done as part of normally what is a court supervised public auction sale.

What is stalking horse finance?

• stalking horse in Finance. A stalking horse is a buyer who has agreed to make a minimum bid before a bankruptcy auction. The sale process will now be conducted without a stalking horse bid.