Once-Hot Startup Quirky Files for Bankruptcy Protection @ quirkybankruptcy.com.
Tuesday morning, Quirky filed a petition for Chapter 11 bankruptcy protection. According to a company blog update, the step was taken to “facilitate a sale of substantially all of its assets.” It’s even selling Wink, the smart-home goods subsidiary of Quirky, which was–and is–being kept alive as the rest of the company has been slowly dismantled over recent months. The documents illuminate that the expected price-tag will be $15 million or more, for Wink alone. (One bidder has already offered that, but it must be put up to an auction.)
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On September 22, 2015 (the “Petition Date”), Quirky, Inc., Wink, Inc. and Undercurrent Acquisition, LLC (the “Debtors”) filed voluntary petitions in the United States Bankruptcy Court for the Southern District of New York seeking relief under the provisions of Chapter 11 of the United States Bankruptcy Code. The Debtors continue to operate their businesses and manage their properties as debtors-in-possession. This website was created to assist the Debtors in providing access to information for creditors, as well as to solicit and receive comments from such creditors.
Read more on the blog, looks like Quirky is selling WINK to Flextronics for $15m (previous coverage).
Looks like Quirky owes the former CEO, Ben Kaufman $296,311.56 as a severance package. They also owe “Flex sales” $18m, UnderCurrent $14m and UPS $1.3m (PDF).