Advanced Lighting Technologies, Inc. (“ADLT”)

Client

The ADLT Class 7 Liquidating Trust was created to hold certain assets of ADLT for certain of ADLT’s ex-shareholders.

Challenge

Upon the reorganization of ADLT its shareholders were given several non-performing assets. These assets were transferred to a Grantor Trust for the Benefit of the shareholders. Bridge Associates, LLC was hired as the Trustee and was given the responsibility of liquidating these assets.

Solution

Upon its hiring, Bridge along with its investment banker in the case developed a strategy to maximize the value these assets. Rather than fire sale all of the assets, Bridge was able to liquidate the Trust’s holdings in Fiberstars, Inc for approximately $12.3 million dollars or $.53 per eligible share in the first six months of the Trust. Other assets that were not as liquid were a 5.7% interest in Hexagram, Inc. and a contingent payment certificate in the newly reorganized ADLT. For a nearly two year period, Bridge met with these companies to keep track of their progress and investigate opportunities to liquidate its holdings, both of which were eventually sold to third parties for approximately $4.1 million or $.19 per eligible share.

Results

Bridge was able to return $.72 per eligible share to the former common stock holders of ADLT. During ADLT’s bankruptcy case, estimated shareholder returns were in the $.04 to $.08 range.

RELEVANT PRESS RELEASES

Bridge Associates LLC Announces Successful Sale of Assets of ADLT Class 7 Liquidating Trust

Patience, creativity yield distributions to ADLT shareholders