Titans of Mavericks LLC, a surfing event and lifestyle brand, and its affiliate Cartel Management Inc., filed voluntary Chapter 11 petitions in the United States Bankruptcy Court for the Central District of California, initiating a process intended to preserve value and accommodate an orderly going-concern sale of its business operations.
Since 2014, up to $3 million has gone into developing the brand and staging the annual event, which features surfers competing on waves that can reach 60 feet.
The Chapter 11 filings by Titans of Mavericks and Cartel Management represent the culmination of a strategy designed to implement a sale of the assets and intellectual property of the companies to afford a buyer certain protections available only in bankruptcy.
Titans of Mavericks intends for such a sale to ensure a smooth and swift transition of the business and operations. “The brand has seen explosive growth since its creation,” said Griffin Guess, Titans of Mavericks founder.
The companies determined that a sale through a Chapter 11 process is likely to achieve the highest and best value for their assets. “The process will allow Titans of Mavericks to reach new heights in the right hands. It is time for a larger organization to gain from all of our hard work,” said Guess.
Levene, Neale, Bender, Yoo & Brill L.L.P. is serving as legal counsel, and the Company has appointed Klinedinst PC to serve as transactional counsel.
The Titans of Mavericks LLC brand includes media, distribution, apparel, hard and soft goods, festival and licensing.
Photo courtesy Titans of Mavericks
