Flexicare Inc. entered into a stalking horse asset purchase agreement to acquire New York facility and business of Allied Healthcare Products, Inc. (OTCPK:AHPI.Q) for $3.2 million on May 7, 2023. Under the terms of the agreement, Flexicare will pay $3.15 million, plus an amount equal to ninety-five percent (95%) of the aggregate total of the Receivables less the Zero Rated Receivables as of the Closing Date. Flexicare will make an earnest money deposit of $315,000 in connection with the NY Sale, which will be held in escrow by the Escrow Agent.

Flexicare, Inc., to acquire its New York facility and business and its St. Louis business operations through two separate transactions, subject to higher or otherwise better offers. Ravinia along with MorrisAnderson, secured a new $2.5 million loan from Sterling Commercial Credit.

Allied Healthcare Products, Inc. has filed a number of customary motions with the Bankruptcy Court. Sale will be conducted through a Bankruptcy Court-supervised process pursuant to Bankruptcy Court-approved bidding procedures, and is subject to the receipt of higher or better offers from competing bidders at an auction, approval of the sale by the Bankruptcy Court, and the satisfaction of certain conditions. Mark Welch and Akash Amin of MorrisAnderson & Associates, Ltd. acted as financial advisor and Chief Restructuring Officer, Zach Fairlie, Ryan Hardy and Eric C. Peterson of Spencer Fane LLP acted as legal advisor and Tom Goldblatt of Ravinia Capital LLC acted as financial advisor to Allied Healthcare Products, Inc. Joe Lehrer and Edward A. Chod of Greensfelder, Hemker & Gale, P.C. acted as legal advisor to Allied Healthcare Products.

Scott Davidson of King & Spalding LLP and Eric M. Sutty and Michael A. Petrizzo, Jr. of Armstrong Teasdale LLP acted as legal advisors to Flexicare.