Mercantile Bancorp Draws Flak With $22M Stalking Horse Deal

Law360, Wilmington (July 1, 2013, 8:51 PM EDT) -- Mercantile Bancorp Inc. got the green light for its first-day motions from a Delaware bankruptcy judge Monday, but saw its $22.3 million stalking-horse deal draw fire from a financial management firm that claimed the holding company's proposed auction would lead to a “fire sale.”

U.S. Bankruptcy Judge Kevin J. Carey signed off on MBI's unopposed first-day pleadings and agreed to schedule a July 24 hearing to consider bidding procedures for its planned Section 363 sale to United Community Bancorp Inc., but  HoldCo Advisors LP attorney Daniel...
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