Brea, CA - The Brea-based Krystal Koach, Inc., announced today it is selling substantially all of its assets and operations to a strategic partner along with an existing investor through a pre-arranged voluntary Chapter 11 bankruptcy filing.
Krystal Koach, Inc. is the world’s largest manufacturer of stretch limousines and specialty buses. All operations, including manufacturing, sales, and warranty support, will continue to operate as usual during the reorganization, company officials said.
Krystal Koach, Inc. reported it has entered into an asset purchase agreement with Krystal Infinity, LLC. Krystal Infinity, LLC is an affiliate of publicly traded Thunder Sky Battery Limited
(www.thunder-sky.com) a Hong Kong Based manufacturer of Thunder Sky Rare Earth Lithium-
Ion batteries and affiliated products for the automotive industry. Krystal has reached an agreement
with its major creditor and with Thunder Sky Battery Limited to allow for an efficient process. Krystal’s Chief Executive Officer, Ed Grech will remain a major shareholder and CEO after the sale. Krystal has arranged a debtor in possession financing facility with an affiliate of the purchaser to ensure that
Krystal can manufacture and deliver vehicles through the sale process.
Krystal is expected to emerge from Chapter 11 sale process in 60 to 75 days, according to Grech.
"The entire Krystal team is excited about the prospect of quickly implementing the sale through the Chapter 11 process, which will allow us to emerge within two months as a company with rock solid financial footing. Further, our partnership with Krystal Infinity, LLC allows us to continue our legacy
of innovation by bringing the first battery powered vehicles to our market'' he said.
The product release shown below describes the new green product scheduled for release in 2011,
and is just a snapshot of the exciting new offerings that will be launched during the next generation
of Krystal.
"We will continue to pay our valued employees as well as our vendors for post-petition purchases
of goods and services in the normal course of business,'' he said. “It will be business as usual while
we complete the sale transaction.''
“As we emerge from the very difficult economic times that have affected our industry and country, Krystal Koach remains committed to leading the industries that we serve through quality, innovation,
and the highest level of customer support.”
Grech said "Krystal is and will remain open for business. We’ll continue to make and deliver the
best vehicles in the industry. We are very excited about our future with our new partners."
ANNOUNCING: TWO NEW ALL-ELECTRICS from Krystal
Krystal Enterprises is proud to announce the impending release of two
new all-electric vehicles. The Krystal-T.S. Luxury Electric Vehicle, shown at right, is an all-electric four passenger ultra-luxury sedan based on a heavily modified SUV chassis. The completely re-configured drivetrain is powered by Thunder Sky Rare Earth Lithium Ion batteries and a UQM Brushless Permanent Magnet motor. The result is a 200kW (268 Hp) rear-wheel drive system that boasts 112 kW-hrs of stored energy and a range of 180 miles at freeway speeds. This model is in the final design stages.
A fully functioning prototype was successfully demonstrated and displayed earlier this month at “EVS 25”, the World Battery, Hybrid and Fuel Cell
Electric Vehicle Symposium and Exhibition in Shenzhen, China.
Full production is expected in the first quarter of 2011.
