MINNEAPOLIS — As of last week, Irwin L. Jacobs is no longer Chief Executive Officer of Genmar, the company said in a release Monday. The separation will allow Jacobs to bid on Genmar’s assets without potential conflicts of interest.
Jacobs told the Minneapolis Star Tribune on Tuesday that he expects to be the high bidder for Genmar Holdings Inc., which is now up for sale. Jacobs began acquiring the boat businesses that led to the formation of Genmar more than 30 years ago.
Since June 1, Genmar has been operating under the direction of Manchester Companies Inc, a firm that
was engaged as the Chief Restructuring Officer as required under the company’s debtor-in-possession financing agreement. Manchester has the full authority generally vested in a CEO. In addition, the company said an office of the president, including two representatives of Genmar and two representatives of Manchester, was also established in June. Genmar said that organizational structure will continue going forward.
According to the Tribune, a stalking horse bidder in the Genmar auction hasn’t yet been chosen and the deadline for selecting one is Nov. 18. The paper said a source close to the process identified the potential stalking horse bidder as Platinum Equity, a Beverly Hills-based firm that buys distressed companies.
“Please understand that Genmar management, Manchester, our investment bankers and other professionals, are very diligently focused on completing the asset sale process as prudently as possible,” Roger R. Cloutier, Genmar President, said in a note to dealers. “In the meantime, we continue to build boats based on a good backlog of orders and to support our dealers as best as possible.”