KiOR auction scheduled for Jan. 9

By Erin Voegele | December 10, 2014

KiOR Inc. is expected to proceed with a bankruptcy auction in early January following a Dec. 8 order issued by a judge with the U.S. Bankruptcy Court for the District of Delaware. Court documents indicate qualified bidders will be invited to participate in an auction at the office of KiOR’s counsel, King & Spalding LLP, in Texas on Jan. 9.  

KiOR filed a voluntary petition for Chapter 11 bankruptcy in November. The company’s idle biorefinery in Columbus, Mississippi, which is owned KiOR Columbus LLC, a wholly owned subsidiary of KiOR, is not included in the filing. 

In November, the company indicated it had accepted a bid for substantially all of its assets from affiliates of Vinod Khosla, referred to at the Staking Horse Bidder. Under the bankruptcy filing, the bid is subject to higher and better offers and court approval.

In documents filed with the court as part of the bankruptcy procedure in November, Christopher Artzer, president and interim chief financial officer of KiOR, explained KiOR currently maintains corporate offices, research and development facilities and a test-scale demonstration facility in Pasadena, Texas. He also indicated KiOR currently employs approximately 71 people. As of June 30, he said KiOR entities reported assets of $58.27 million and liabilities of $261.31 million. According to information released by KiOR, the sale of assets at auction is part of its plant to refocus on research and development.