SAN FRANCISCO, Nov. 20, 2013 /PRNewswire/ -- Velti plc (NASDAQ: VELT), a leading global provider of mobile marketing and advertising technology, announced today that it has obtained Bankruptcy Court approval to continue with the sale of its mobile marketing business. The Court also approved affiliates of GSO Capital Partners LP ("GSO"), the credit division of Blackstone (NYSE: BX), as the stalking horse bidder.
The current proposed transaction includes the sale of business lines operated by Velti Inc. and Air2Web Inc. in the U.S., Air2Web India, Velti DR Limited and Mobile Interactive Group, Ltd. in the U.K., and Velti Netherlands B.V. in the Netherlands. All operations included in the proposed sale agreement will continue as normal throughout the sale process.
The deadline for additional bids is December 16, 2013. Should the Company receive additional qualified bids, an auction will be held on December 18, 2013. A hearing to approve the sale to the winning bidder is set for December 20, 2013. The current proposed sale is expected to close by the end of 2013.
"Today's approval allows us to continue on schedule as we work towards strengthening Velti and closing our proposed sale to GSO," said Velti Chief Executive Officer Alex Moukas. "We look forward to completing the sale process and securing the best outcome for Velti's mobile marketing business."
As previously announced, the Company is operating its U.S. operations as debtor-in-possession under the protection of the U.S. bankruptcy laws, while the Company's operations in the U.K., Greece, China, Brazil, India, Russia, the United Arab Emirates, and other jurisdictions outside the U.S. are continuing normal business operations.
For more information about this announcement, please visit www.velti.com. Additionally, the Company has set up a special information hotline at 866-618-4602.
"Safe harbor" statement under the Private Securities Litigation Reform Act of 1995: This press release contains forward-looking statements about voluntary petitions under Chapter 11 of the U.S. Bankruptcy Code filed by various of the company's subsidiaries in the United States, as well as concerning the proposed sale of assets owned or used in the company's mobile marketing business unit. The achievement or success of the matters covered by such forward-looking statements involve risks, uncertainties and assumptions, and if any such risks or uncertainties materialize or if any of the assumptions prove incorrect, the Company's results could differ materially from the results expressed or implied by the forward-looking statements. These risks and uncertainties include - but are not limited to - our ability to consummate the sale of assets to GSO Capital Partners; our ability to continue operations during the pendency of the bankruptcy cases and the effect of actions of the Court on the Company's assets and operations; the adverse impact of the bankruptcy cases on the Company's business, financial condition and results of operations, including its ability to maintain contracts and other customer and supplier relationships critical to its business and the actions of the Company's creditors and other third parties with interests in the bankruptcy cases; the Company's ability to maintain adequate liquidity to fund operations during the bankruptcy cases; the Company's ability to obtain court approval with respect to motions in the bankruptcy cases prosecuted from time to time; the Company's ability to develop, prosecute, confirm and consummate a plan of reorganization with respect to the bankruptcy cases; and other risk factors contained in the Company's SEC filings including our Annual Report on Form 20-F and our current reports on Form 6-K filed with the Securities and Exchange Commission and in other filings we may make with the Securities and Exchange Commission from time to time. Velti assumes no obligation and does not intend to update these forward-looking statements, except as required by law.
Velti is a leading global provider of mobile marketing and advertising technology and solutions that enable brands, advertising agencies, mobile operators and media to implement highly targeted, interactive and measurable campaigns by communicating with and engaging consumers via their mobile devices. The Velti platform, called Velti mGage™, allows customers to use mobile and traditional media to reach targeted consumers, engage the consumer through the mobile Internet and applications, convert them into customers and continue to actively manage the relationship through the mobile channel. Velti is a publicly held corporation based in Jersey, and trades on the NASDAQ Global Select Market under the symbol VELT. For more information, visit - www.velti.com.
SOURCE Velti plc