GRENOBLE, France — Fox Factory has removed itself from the bidding to acquire Mavic SAS, which is in receivership in France. However, about 13 other groups, including several with ties to the bike industry, have expressed interest in the company.
In May, Mavic entered receivership, a status similar to Chapter 11 bankruptcy in the U.S., intended to help a company restructure debts while under management and protection of a trustee. One difference, at least in this case, is that in considering competing bids and plans the French commercial court places a priority on preserving jobs, while U.S. bankruptcy courts prioritize satisfying creditors.
The French administrators are expected to announce a decision at the end of this month. Besides preserving jobs, the court is keen to hear plans for how potential owners would extricate Mavic from its former owner, Amer (which was acquired by a Chinese sports group last year). Mavic continues to share a building with Amer’s Salomon brand near Annecy, and Mavic continues to pay Amer for production and services at Amer-owned facilities elsewhere in France and Eastern Europe. While Mavic has several hundred employees in France, it also indirectly supports scores of Amer employees.
Regent LP, a California-based group, acquired Mavic from Amer Sports last year. Regent — which also acquired the Redline, iZip and Diamondback brands from Accell Group last year.