Express Grain confirmed sold to UMB Bank for $25 million

The major assets of Express Grain Terminals LLC have been sold to UMB Bank, the bankrupt company’s bankruptcy attorney has confirmed.

“We are now busy closing the sale and moving from Express Grain to UMB,” Craig Geno said Saturday.

The Kansas City, Mo. bank, which is Express Grain’s largest creditor, was “the highest bidder and the highest bidder,” he said, for the company’s facilities in Greenwood, Sidon. and Minter City, paying $25 million at the federal bankruptcy auction. court on February 25.

The winning bid was originally announced a week ago by The Taxpayers Channel, but so far has not been publicly confirmed.

Geno said UMB Bank was a credit bidder, meaning it was able to buy Express Grain’s facilities – three storage warehouses and a soybean processing plant – using its bid amount against the debt of more than 70 million dollars that the company owes to the bank. . This would reduce the debt to the bank to $45 million.

On the eve of the auction, Express Grain’s offices in Greenwood, the home of its chairman, John Coleman, and an as yet unidentified location were raided by the FBI and other law enforcement agencies. the law. Geno said the raid was disclosed ahead of the auction but had no effect on the bidding process.

Specifics of the official sell order are still being finalized, but it is expected to reach federal bankruptcy judge Selene Maddox’s office on Monday or Tuesday, Geno said.

The company’s operations have slowed considerably, with Geno estimating that only 25 to 30 employees remain.

By the time Express Grain and Coleman filed for bankruptcy in late September, the company had about 150 employees.

Remaining stocks of soybeans, soybean meal, soybean oil and corn will be removed over the next week. All assets over which UMB Bank had no security will be sold.

Express Grain’s bankruptcy proceedings, Geno said, will continue. He said the amount owed to farmers who delivered grain to the company but were not paid, originally estimated at $31 million, is estimated at $44-46 million and is a ‘moving target’ which continues to be adjusted.

A hearing to determine ownership of the grain and grain proceeds is scheduled to begin March 31.

Following the decision, Geno said the bankruptcy case on his side will be largely concluded, but he expects some parties to the case to appeal the sale of the assets to UMB Bank. These could extend the process for a year or more, according to Geno.

– Contact Kevin Edwards at 662-581-7233 or [email protected]

Comments are closed.