Kranos Corp., the former parent of Schutt Sports, filed for Chapter 7 in the U.S. Bankruptcy Court in Wilmington, DE prior to reaching a deal to sell its assets to Innovatus Capital Partners.
Innovatus Capital Partners, based in New York City, on December 23 said it acquired substantially all of Kranos Corporation’s assets, IP and brands including Schutt, ProGear Shoulder Pads, Tucci Bats, Hollywood Bases, and Adams USA.
The Chapter 7 petition, which had been filed on December 18, listed more than $58 million in liabilities and $1.2 million in sports equipment assets.
Kranos and Schutt have the same address in Litchfield, IL and the same CEO, Robert Erb.
Schutt was not identified as a party in the liquidation case, which lists $36.7 million in secured claims and $21.6 million in unsecured claims, according to Law360. Kranos received an $18 million secured term loan in October 2019 from Innovatus.
As reported, Innovatus Capital has formed Certor Sports, LLC, a subsidiary, to consolidate sporting goods brands faced with challenges due to COVID-19 and the corresponding disruption in youth, collegiate and professional sports.
All brands in the portfolio, including Schutt, will continue under the new ownership with the same insurance and product design warranties sold through its sales organization. Certor Sports will continue to provide sports equipment and reconditioning services to schools and sports leagues previously serviced by Kranos Corporation.
Photo courtesy Kranos Corporation/Schutt