BowFlex Inc (PK) (BFXXQ) News

BowFlex Files for Bankruptcy, Prepares for Sale 😒
Story by Bill McColl • 21h
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Key Takeaways

BowFlex Inc. filed for Chapter 11 bankruptcy and agreed to Johnson Health Tech Retail Inc.'s serving as a "stalking horse" bidder as it moves to sell the company. The maker of exercise equipment said it also has secured financing to remain operational and pay its bills as the process moves forward.

BowFlex said the post-pandemic environment and persistent macroeconomic challenges led to the decision.
Exercise machine maker BowFlex Inc. (BFX) has agreed to sell to a “stalking horse” bidder after the company filed for bankruptcy.

BowFlex filed for Chapter 11 bankruptcy in New Jersey at the beginning of the week and said Tuesday it struck an agreement with Johnson Health Tech Retail Inc. to acquire substantially all its assets for $37.5 million in cash. In addition, BowFlex said it has secured $25 million in debtor-in-possession financing to keep operating and meet its financial obligations during the bankruptcy proceedings and through the sale.

Chief Executive Officer (CEO) Jim Barr blamed the downfall of the company on “the post-pandemic environment and persistent macroeconomic headwinds.” The company has been struggling for months, with Barr warning in November that “the retail environment has remained challenging,” and customers were “maintaining a highly conservative approach to inventory reorders.”


In late November, the company received a listing notice from the New York Stock Exchange (NYSE) because it failed to maintain “an average global market capitalization of at least $50.0 million over a consecutive 30-day trading period and, at the same time, a total stockholders’ equity equal to or greater than $50.0 million.”

In Tuesday’s statement, BowFlex said it is seeking approval of the proposed deal under the rules of the U.S. Bankruptcy Code, which “will allow outside parties to submit higher or otherwise better offers.” The goal is to “maximize value to our stakeholders through this process," Barr said.

Shares of BowFlex have lost nearly 90% of their value over the past year, and hit an all-time low last month.

BFX changed to BFXXQ, bankruptcy. Delisted from the NYSE to the OTC:

https://otce.finra.org/otce/dailyList?viewType=Additions

New 8-K out. Paid of 3.02 million credit note.

I don't know about a quarter but it sure looks like it's going to the OTC Market. $BFX

Going back up to a quarter.

Hmmmm does BFX have another bounce left in it?

Well, it was a good flip. Watching for a reentry.

Lovin' some $BFX entry at $0.53 doing very well. They are trying to stay listed here.

Time for a rebound? $BFX