Power Balance Performance Technology, the maker of wristbands made popular
by professional athletes,
received court approval to emerge from bankruptcy under new ownership. The new owners, which will operate as Power Balance Technologies Inc., plan to aggressively grow the business by introducing new and exciting products to the market in 2012 and beyond.

In addition to bringing in a team of experienced advisors and new leadership to drive the next phase of growth for the company, most of the existing staff will continue working under the new ownership structure.

Power Balance said in a statement that the new organization is excited and energized about working with professional athletes, teams, sports leagues, retail partners and distributors to deliver unique products to the market.

The new owners have been closely affiliated with Power Balance, having served as the company’s primary supplier, partner and early investor. They have a detailed understanding of the Power Balance business and appreciation for the Power Balance brand and are committed to the long-term growth of the company. By integrating manufacturing more closely into the operations of the company, the new owners see a number of strategic benefits including shorter product development cycles, faster time-to-market, improved quality control and other operating efficiencies.

“Power Balance has the broadest distribution, the strongest brand recognition and by far the most popular product in this category today,” said Denny Barge, who will serve as Chairman of the new entity. “With the new ownership and operational restructuring, the company is in a much better position to support retail and distribution partners, provide value to the athlete community and deliver truly innovative products to market. Power Balance is a young company that has successfully pioneered a new category of sports accessory and our product roadmap includes offerings we’re confident consumers will get excited about.”
 
Power Balance filed for bankruptcy protection in late November. The
filing resulted of numerous lawsuits that allege misleading advertising about
the hologram-embedded rubber bracelets that the company has denied. Los Angeles
Lakers star Kobe Bryant lost $400,000 in the bankruptcy. Hanyang LLC, a company
with close ties to the Hong Kong firm that supplies the Power Balance
wristbands, in late December purchased the assets of Power Balance with plans
to continue operating the company.