An ABI Committee Newsletter
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| Vol 23 Num 1 | January, 2026
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by Todd Carney, U.S. Bankruptcy Court (N.D. Tex.), Fort Worth
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Bankruptcy sales in 2024-25 have showcased the full spectrum of outcomes, from clean going-concern transfers to piecemeal wind-downs and full liquidations. Four recent cases, Everstream, Design Group Americas (DGA), Conn’s and JOANN, illustrate how industry dynamics, capital structure and buyer appetite steer debtors toward very different § 363 paths.
When a Going Concern Is the Asset: Everstream
For business-only fiber network Everstream, the “business” itself, its routes, customers and technical workforce was the value-driver. The company filed after lining up a stalking-horse agreement to sell substantially all operations to Bluebird Fiber, positioning for a quick going-concern handoff rather than a drawn-out breakup. The court later approved the sale, reported at about $385 million, enabling continuity of service and preservation of
enterprise relationships.
Here’s why that approach worked: (1) strong strategic fit and a ready buyer with fiber operating expertise; (2) minimal value in piecemeal liquidation, as dark fiber and scattered equipment are far less valuable than an intact network under a capable operator; and (3) the ability to maintain operations during the case, which keeps customer churn at bay and protects revenue. The result is textbook going-concern value-maximization: Customers keep service, employees mostly transition, and secured creditors tap a single, high-certainty cash recovery. The lesson is straightforward: Network and B2B infrastructure businesses with identifiable strategic buyers tend to skew toward full going-concern sales.
Read Full Article Online →
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by William Hao, Alston & Bird LLP, New York
Douglas Harris, Alston & Bird LLP, Los Angeles
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When the COVID-19 pandemic struck, the transportation industry was devasted. Lockdowns, remote work trends and social distancing measures led to a sharp decline in travel and related revenue streams.
Coach USA, one of the oldest and largest ground transportation enterprises in North America, was deeply affected by the pandemic. During 2020, commuter ridership declined by 90% compared to pre-pandemic periods. As the years passed, ridership and revenue slowly recovered but never rebounded to pre-pandemic levels. In addition, operating expenses were higher than ever due to rising fuel, insurance and labor costs, negatively impacting Coach USA’s liquidity position and its ability to service its existing debt.
With operations in both the U.S. and Canada, Coach USA provided service to millions of passengers annually, many of whom depended on Coach USA services
for daily transportation needs. In addition, Coach USA employed more than 2,200 employees, many of them unionized, for whom Coach USA was not only their livelihood, but longtime employer. The preservation of the business of Coach USA as a going concern would mean the continuation of the operation of this vital infrastructure, and continuation of the employment of hardworking and dedicated drivers, mechanics and administrators of the business.
In response to these headwinds, the company engaged Alston & Bird and Young Conaway as counsel, CR3 as financial advisors, and Houlihan Lokey as investment banker to assist in evaluating all available options to preserve Coach USA as a going concern, including potential refinancing, recapitalization and sale transactions.
Read Full Article Online →
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Call for Asset Sales Newsletter Contributors
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ABI’s Asset Sales Committee Newsletter is seeking new contributors interested in sharing timely insights on asset sales in bankruptcy and restructuring matters. Writing for the Asset Sales Newsletter is an opportunity to showcase your expertise, build your professional profile, and contribute to a resource widely read by ABI members nationwide. We welcome article ideas from practitioners at all stages of their careers, whether you’re interested in a brief practice note, a case analysis, or a deeper dive into a developing issue. Contact Newsletter Editor, William Hao for additional details.
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Asset Sale of the Year Applications Due March 1
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ABI’s Asset Sales Committee is seeking nominations for its Eighth Annual Asset Sale of the Year award. Any bankruptcy sale that closed between January 1 and December 31, 2025, and involved at least one professional who is a member of ABI’s Asset Sales Committee is eligible. Nominations are due March 1; please send your nominations to Thomas Kessler. Self-nominations are permitted and encouraged! The committee will be announcing the award-winning sale and team during ABI’s Annual Spring Meeting this April. Click here for more information.
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