The bankruptcy sale of the XFL’s assets will be allowed to proceed this summer, a judge ruled late last week, splitting the difference between the wishes of the XFL and a group of creditors that sought a delay. U.S. Bankruptcy Court Judge Laurie Selber Silverstein set an auction date for the XFL’s assets as Aug. 3, with a hearing to confirm that sale on Aug. 7. That is roughly four weeks later than originally proposed by the bankrupt league, but five weeks earlier than the creditors wanted. Bids are due July 30.
Investment bankers for XFL parent Alpha Entertainment, owned by Vince McMahon, last week said there were already 20 potential buyers that had signed non-disclosure agreements to proceed with evaluating the purchase. McMahon said he would not be among the bidders to buy the league back. Alpha’s lawyers argued that a quick sale -- to be concluded as soon as July 13 -- would be necessary to give the new owners a chance of executing a '21 season.
The creditors argued that the original timeline was counterproductive to the goal of maximizing the value of the bankrupt estate and sought for a push to September, when the fallout of the pandemic would be more clearly understood.
