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COURTESY HAWAII NUI BREWERY
courtesy hawaii nui brewery
@Caption1:Dr. Paul DeMare's surprise bid was approved
for the assests of Hawai'i Nui Brewing, which
produces Mehana and Hawai'i Nui brand beers.
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A sale of Hawai‘i Nui Brewing’s assets was approved by federal Bankruptcy Judge Robert Faris on Friday to a surprise bidder: Honolulu radiation oncologist Paul DeMare, who offered to pay $860,000 in cash and assumed debt.
The 11th-hour bid by DeMare to buy the bankrupt Hilo microbrewery was $50,000 higher than the bid submitted by Aloha Beer Co.
DeMare’s bid includes $325,000 in cash and the payment of First Hawaiian Bank’s first lien on the equipment of $85,000 — both due upon the deal closing. He also agreed to pay $60,000 due at the end of October, and assume loans totaling approximately $390,000.
"Dr. DeMare left me a message on Memorial Day after reviewing the Star-Advertiser articles regarding the auction of Hawai‘i Nui Brewing, and negotiations did not begin until Wednesday," said bankruptcy attorney Chuck Choi, who represents Hawai‘i Nui Brewing. "We are obviously pleasantly surprised."
In addition, Hawai‘i Nui Brewing also filed an objection and counterclaim Friday disputing Mehana Investments’ secured claim for approximately $355,000. Mehana Investments, a former owner of Hawai‘i Nui Brewing, had submitted its own competing bid, which was rejected.
Current owners of Hawai‘i Nui Brewing wanted to retain ownership of the financially troubled company but were outbid by DeMare.
The approval of the sale averts the liquidation of the company, which employs six people.
