Indiana company seeking to purchase Jasper Rubber Products, plans to restart operations

A Fort Wayne company is seeking court approval to purchase Jasper Rubber from First Brands Group, LLC, according to court filings.

First Brands Group requested court approval to sell its “Jasper Rubber Products” business to Jasper Acquisition Co., LLC, an Indiana limited liability company, on Wednesday.

The deal is valued at $8.03 million in cash plus the assumption of certain liabilities. It’s structured as an asset sale: Jasper Acquisition Co. would acquire the real estate, equipment, inventory, contracts, permits and intellectual property — including the “Jasper Rubber” brand name and its manufacturing know-how — tied specifically to the Jasper operation. Cash, accounts receivable and assets unrelated to the Jasper Rubber business stay with First Brands’ bankruptcy estate.

Jasper Rubber Products made precision-molded rubber, thermoplastic and elastomer components — including vibration control, structural, sealing and isolation parts — for passenger cars, light trucks, powersports equipment and small engines.

First Brands ceased day-to-day operations of the Jasper Rubber business in March. In its motion, the company says the buyer wants to restart work at the Jasper facilities as soon as possible, noting that the sooner that happens, “the more likely the Buyer will be able to rehire former employees.” Court filings also note the sellers “have very few employees” remaining as the wind-down continues.

Fort Wayne-based Press-Seal Corporation, an Indiana corporation led by CEO Peter J. Skinner, is serving as guarantor on the transaction. Court records show Press-Seal first submitted a non-binding bid for the Jasper assets back in March.

The sale follows a marketing process that began in January and reached more than 400 potential bidders, as First Brands has sold off various business lines piece by piece since filing for bankruptcy last September.

A sale hearing is scheduled for 11 a.m. Central on July 2 before Judge Christopher Lopez in the U.S. Bankruptcy Court for the Southern District of Texas in Houston. Objections were due by 4 p.m. Central on July 1.