Impel Pharmaceuticals Inc. (OTCPK:IMPL) announced that it is pursuing a sale of the company and has entered into an agreement with JN Bidco to serve as the "stalking horse" bidder to acquire the company and its assets. To facilitate an orderly sale process, the company has filed voluntary petitions to commence chapter 11 proceedings in the U.S. Bankruptcy Court for the Northern District of Texas, which will provide interested parties the opportunity to submit higher and better offers. The decision to file for Chapter 11 protection follows the strategic review process that Impel announced in October during which the company announced the exploration of a wide range of options including potential sale of assets of the Company, a sale of all the company, a merger or other strategic transaction.

Impel intends to continue operating as usual throughout the court-supervised sale process, including providing wages and benefits to employees. To enable this, the company has filed certain customary "First Day" motions with the Court. Upon Court approval of these First Day motions, the company expects to minimize the impact of the sale process on the company's customers, employees, and other key stakeholders.

Impel seeks to complete the sale process in the first quarter of 2024, with any sale subject to Court approval.