OTB Holding LLC

Sale Process

Case No.: 25-52415 · Georgia Northern · Petition date: Mar 4, 2025

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OTB Holding LLC Bankruptcy Case

Debtor-reported assets and liabilities

Source: latest filed schedules summary (Form 206Sum). Unaudited; not a solvency opinion.

AssetsLiabilitiesShared scale: longer bar = larger reported total

Assets$0
Liabilities$0

Latest schedules summary filed Apr 17, 2025.

OTB Holding is now in post-confirmation liquidation, with its restaurant business sold and the OTB Holding Liquidating Trust administering claims and remaining estate assets rather than pursuing an operating reorganization. The latest post-confirmation reportDkt. 794 says claims reconciliation remains at an early stage, projected plan payments are not yet known, and no date has been fixed for seeking a final decree.

The debtor filed Chapter 11 on March 4, 2025 after labor inflation, an underperforming restaurant footprint and mounting vendor and landlord pressure produced a liquidity crisis. OTB had closed 40 underperforming locations before bankruptcy, removing stores associated with approximately $11.8 million of annual lease costs, but entered the case still operating 60 company-owned restaurants and overseeing 20 franchised locations. The debtor reported approximately $19.6 million in prepetition funded debt and commenced the case around a going-concern sale process, with OTB Lender LLC—provider of prepetition bridge financing—positioned as the anticipated stalking-horse bidder, as described in the first-day declarationDkt. 18.

As recounted in the post-confirmation reportDkt. 794, substantially all assets were sold to OTB Hospitality LLC for $36.25 million, with the transaction closing on May 30, 2025. The debtor then filed its amended joint Chapter 11 planDkt. 522 on July 21, providing for substantive consolidation for distribution purposes, cancellation of equity, pro rata Liquidating Trust interests for general unsecured creditors and a trust-controlled wind-down of retained assets and causes of action. The plan was confirmed on September 8 and became effective September 16, 2025. The case is now centered on claim allowance and distributions: the court recently sustained the trustee’s eighth omnibus claims objectionDkt. 789 and extended the claims-objection deadline to November 10, 2026 under the deadline-extension orderDkt. 788, leaving claim reconciliation as the principal near-term milestone.

AI-generated summary. Check the cited filings before relying on it.Updated Jul 30, 7:17 AM ET

Latest development

SaleMay 16, 2025

Court approves substantially all-asset sale to OTB Hospitality

The court approved OTB Holding LLC’s sale of substantially all debtor assets to OTB Hospitality, LLC, free and clear of liens and claims, with related authority to assume and assign executory contracts and unexpired leases. The sale order says the consideration is a credit bid made up of DIP obligations, including prepetition secured note obligations rolled into the DIP, and requires the purchaser to pay cure costs for assumed contracts.

The process cleared a key restructuring milestone: bids were due May 1, 2025, an auction was held May 6, and the debtors received one timely qualified bid in addition to the stalking horse bid. Salud Brands LLC was designated backup bidder, but the court found OTB Hospitality’s APA was the highest or best offer and authorized immediate consummation. For professionals tracking recoveries and go-forward ownership, this shifts the case from marketing process to sale execution, with creditor value now tied to closing mechanics, cure treatment, and the credit-bid waterfall.

Key professionals

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Financial Advisor

Deloitte Transactions and Business Analytics LLP

Financial Advisor

Eversheds Sutherland (US) LLP

Investment Banker

Hilco Corporate Finance, LLC

Bankruptcy Counsel

King & Spalding