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Dominion Diamond Mines ULC said yesterday that it reached a deal to sell its Ekati mine in Canada’s Northwest Territories to holders of its second lien notes, eight months after seeking bankruptcy protection amid a worldwide upheaval in the diamond industry, Reuters reported. Closely held Dominion, owned by the Washington Companies, filed for creditor protection in April, citing disruption to the global diamond trade caused by the novel coronavirus pandemic. Under the deal, which is subject to court approval, an entity controlled by DDJ Capital Management and Brigade Capital Management will acquire nearly all of Dominion’s assets in exchange for the assumption of $70 million in debt, Dominion said in a statement. The deal does not include Dominion’s 40 percent stake in global miner Rio Tinto’s nearby Diavik mine, which is the subject of a separate dispute between the companies. Calgary-based Dominion said the bidders would provide $70 million in working capital, with operations at the Ekati mine restarting no later than Jan. 29, 2021.

Arandell Holdings Inc. said it finalized an agreement that calls for private equity firm Saothair Capital Partners to invest in the business, clearing the way for the Menomonee Falls commercial printer to emerge from chapter 11, the Milwaukee Business Journal reported. Arandell said Friday that the agreement was approved via U.S. Bankruptcy Court in Delaware for the proposed transaction that had been disclosed in a Sept. 30 bankruptcy court filing. Under the agreement, an affiliate of Saothair, which is based in the Philadelphia area, will become the controlling shareholder of Arandell’s business and assets. The business will retain the same executives and will continue operations at its current location. Arandell said that it will exit bankruptcy “strongly capitalized with a conservative balance sheet.” The company filed for financial reorganization under chapter 11 in August citing industry changes resulting from the COVID-19 pandemic. Arandell said that it has maintained normal operations, preserved more than 500 jobs and increased overall revenue growth.

There’s an unusual asset up for grabs in Century 21 Stores’ going-out-of-business sale: a stake in its long-shot legal fight against insurers, Bloomberg News reported. The New York department store company, which filed for bankruptcy in September, claims it’s owed more than $175 million from business interruption policies because COVID-19 devastated its operations, according to court papers. The claim is the most valuable possession that the doomed chain has left, and proceeds from selling it would help repay creditors after Century 21 closes for good. Thousands of businesses across the U.S. — including more than a dozen professional baseball teams and an iconic Hollywood restaurant — began similar legal battles against insurers after the virus crushed the global economy this year. But insurance companies have mostly prevailed, arguing that diseases can’t cause the physical damage needed to trigger a payout, or pointing to clauses that exclude viruses. Still, Century 21’s legal claim has found a buyer. Precisely who isn’t clear — lawyers for the chain have asked the bankruptcy judge to keep the identity a secret. The exact sale price wasn’t disclosed either, but the proceeds would be at least enough to pay off Century 21’s secured debt, which totaled more than $50 million at the time of the bankruptcy filing. A hearing is scheduled for today in New York.

NPC International Inc., the nation’s largest franchisee of Pizza Hut and Wendy’s restaurants, canceled auctions for all of its assets last night, paving the way for a potential sale of the entire company to the Flynn Restaurant Group LLC, WSJ Pro Bankruptcy reported. Wendy’s Co. has opposed the sale to Flynn, the largest restaurant franchisee in the U.S., and instead has made its own offer with a consortium of regional franchisees. Wendy’s is in talks with NPC to drop its opposition in return for an agreement by Flynn to invest tens of millions of dollars in NPC’s Wendy’s restaurants. San Francisco-based Flynn owns more than 1,200 restaurants, including Applebee’s, Arby’s, Taco Bell and Panera Bread brands across 33 states. Some of those brands compete with Wendy’s. Wendy’s continues to be an active participant in the chapter 11 sales process, including its continued pursuit of a consortium bid with a group of prequalified franchisees, a spokesperson for Wendy’s said. NPC canceled three separate auctions for its Pizza Hut and Wendy’s franchises, as well as for the whole company, which were scheduled for last week and this week, according to court filings. A bankruptcy judge already designated Flynn’s $816 million offer for NPC as the best offer last month, subject to higher and better offers at auctions for the company’s assets. The sale to Flynn requires approval by the bankruptcy court.

Sycamore Partners is finalizing a plan to buy assets of bankrupt Ascena Retail Group Inc., including the Ann Taylor and Loft brands, Bloomberg News reported. The private equity firm is offering to buy the brands from Ascena before the company asks for court permission to confirm its bankruptcy plan. The offer would need court and creditor approval. Ascena’s bankruptcy plan left room for a potential bidder to emerge through a sale process while also allowing lenders to take control of the business if a buyer didn’t materialize. A hearing to confirm the company’s chapter 11 reorganization plan was delayed to tomorrow when U.S. Bankruptcy Judge Kevin R. Huennekens will be asked to approve and finalize the plan in court. Ascena recently got court permission to sell its Justice brand to an entity formed by licensing firm Bluestar Alliance LLC for about $90 million. Bluestar had the highest and best offer over lower bids from an entity called Premier Brands Justice and an affiliate of WHP Global, Bloomberg reported.

A bankruptcy court judge has approved Ursa Resources’ $60 million sale of its Piceance Basin natural gas assets to Terra Energy Partners, clearing the way for completing the transaction perhaps before year’s end, the (Grand Junction, Colo.) Daily Sentinel reported. Bankruptcy Judge Brendan Shannon approved the transaction last week in the U.S. Bankruptcy Court for the District of Delaware. Before he did so, Matthew Pyeatt, an attorney representing Terra in the matter, told Judge Shannon the company is well-positioned to acquire Ursa’s holdings. “Terra is a major player and has significant experience operating in the Piceance Basin,” Pyeatt said. He noted that its core holdings are the ones it acquired from WPX Energy in 2016. Houston-based, privately held Terra, which was formed in 2015, paid $910 million for those assets, partnering with investment firms Warburg Pincus and Kayne Anderson Capital Advisors, L.P. Proceeds of Ursa’s sale, conducted as an online auction, will be distributed during the bankruptcy process, but Ursa has $282.7 million in secured debt alone.

Hertz Global Holdings Inc. said it agreed to sell its Donlen Corp. fleet management business for at least $875 million to an Apollo Global Management Inc.-backed insurance company as the bankrupt rental car company looks to pay down debt, WSJ Pro Bankruptcy reported. In a bankruptcy-court filing on Wednesday, Hertz said the planned sale of Donlen, which provides fleet-management services, could help the company reduce its secured debt and interest expenses, giving it more flexibility to reorganize in chapter 11. Pending court approval, Hertz would sell Donlen to Athene Holding Ltd., a publicly traded financial services business in which Apollo has a roughly 35 percent stake and responsibility for managing investments. Athene’s proposed deal for Donlen consists of an $825 million cash payment and certain adjustments that Hertz said will bring the total purchase price to “at least” $875 million.

Ruby Tuesday Inc. received speedy court approval for a sale process after the bankrupt restaurant chain made last-minute changes sought by major landlords, WSJ Pro Bankruptcy reported. The Maryville, Tenn.-based company filed for chapter 11 bankruptcy last month because of fallout from the novel coronavirus pandemic and continued pressure on the casual-dining sector. Judge John Dorsey of the U.S. Bankruptcy Court in Wilmington, Del., on Friday approved the bidding procedures for its assets. The company said last month that lenders Goldman Sachs Group Inc. and TCW Group Inc. could be the lead bidders as the business seeks to reorganize. But it also said it would court other potential buyers to generate greater proceeds for creditors. The deadline for Ruby Tuesday to pick a stalking-horse bidder is Dec. 10. Stalking-horse bidders help set a starting price for the sale. Other qualified bids are due Jan. 14, which is a week later than the original proposed date. If necessary, an auction would occur Jan. 19.