Private equity firm Wellspring Capital Management LLC on Friday hit a slew of its insurers with a suit in New York state court alleging they must defend it against claims that it plundered . See Sheehan v. Saoud, 650 Fed. Financial terms of the transaction were not disclosed. The defendants' motions rely on Federal Rule of Civil Procedure 12(b)(6). Description. The Partners of Wellspring constitute a long-tenured team, having worked together an average of 15 years over three funds. Even among California Democrats, Newsom is still in the negatives, with 54% wanting him to sit out in 2024 and only 35% wanting him to run. S.D. Wellspring Capital Management is an American private equity firm focused on leveraged buyout investments in middle-market companies across a range of industries. & Loan Ass'n v. Hirschfeld, 476 N.Y.S.2d 292 (N.Y. App. The parties disagree on what law should applyfederal or state, and further if state law applies, New York or South Carolina. ), Create custom alerts for specific article and case topics and, I took a free trial but didn't get a verification email. The company will explode Rich!" 2009).
Type: Company - Private. Wellsprings objective is to bring partnership, experience and value creation to each investment. In Cyrus II, the court also acknowledged that the Fourth Circuit has found otherwise and determined that state choice of law rules should be used in bankruptcy cases. Wellspring Capital and the D&O Defendants grossly and recklessly mismanaged the business and carried out their respective roles in a manner that was devoid of reasonable inquiry and diligence in dereliction of their fiduciary duties to Prospect as a creditor of the increasingly insolvent enterprise. For example, the October 27, 2017 email stated, "The only way to optimize is to merge with Acusport." A New York buyout baron has taken a leave of absence from his fund after an explosive lawsuit claimed last week that he threatened an ex-employee to keep quiet after she accused his son of raping her. A customer lawsuit filed earlier this month against Sequoia, Paradigm, and Thoma Bravo, alleges these funds gave an "air of legitimacy" to FTX andvia their hundreds of millions in funding and. Wellspring Capital, Mr. Carles, and Mr. Johnson were not insiders of AcuSport, and the amended complaint does not allege that they had any special knowledge or information about AcuSport that was not available to the public. The plaintiff responds that the statements relate to presently existing facts and that opinions are actionable in a negligence context. Wellspring Capital Management. The origins of Wellspring Philanthropic Fund are shrouded. EFFECTIVE DATE; SEC: Terminated: 3/2/2007: Follow along as he lays out the blueprint for his career, and takes us all the way from his first sketch to his thriving personal brand, Spunge. Andrew Kupchik argued dismissal was necessary due to Prospect's ratification and/or consent to the distributions, due to failure to state a claim under New York law because of lack of insolvency and failure to state a claim under South Carolina law due to failure to plead actual fraud, due to the expiration of the statute of limitations on the fraudulent conveyance claims, and due to failure to plead the existence of a triggering unsecured creditor. Since its founding in 1995, Wellspring has raised over $4 billion of initial capital commitments through six private equity funds. NEW YORK, Jan. 10, 2018 /PRNewswire/ -- Wellspring Capital Management LLC ("Wellspring") today announced the successful closing of Wellspring Capital Partners VI L.P. ("Fund VI") with capital commitments totaling the hard cap of $1.415 billion. 541, 546 (Bankr. These emails may be a lot of things, but negligent misrepresentations they are not. The Court now issues this order, granting the motions to dismiss for the reasons set forth below. Attorney advertising. The firm functions as a strategic rather than tactical partner, providing management teams with top-line support, M&A experience and financial expertise, and access to resources. Defendant Wellspring Capital Management LLC is a Delaware limited liability company with its principal place of business at 390 Park Avenue, New York, New York 10022. After the defendants filed replies, the Court held a hearing on June 18, 2020. v. Holmes (In re Holmes), 610 B.R. Defendant Bernard Ziomek is in default in this matter. hb```e``jb`a`\ @1V h`2q:lp10qfaqB,X3s10iH(^t1 At Wellspring we pride ourselves on client service. CDI's smaller Atlanta peer said to weigh sale in '18. Oct. 14, 2021) (Stickles, J.) We charge a minimal base fee and the rest is performance fees we generate for clients and not on the amount of capital clients allocate. Additionally, the plaintiff argues that the third element of New York's third-party beneficiary test is not met because there is no express intent in the Loan Agreements or the Amendments to compensate the defendants in the event the distributions were not paid and in fact, the Loan Agreement indicates the opposite by virtue of the inurement clause found in Section 13.1. Practices:
This preference is a result of the Firms differentiated and conservative approach to leverage, in addition to a transparent oversight model, which is driven by our small group of senior professionals and absence of bureaucracy. The defendants argue that as a subsequent creditor, Prospect is required to plead actual fraud, and the amended complaint fails to do so. The plaintiff does not dispute that the amended complaint does not plead actual fraud, and it clearly does not. At the conclusion of the hearing, the Court took the motions under advisement. There are different definitions of insolvency. Menu Home; Rankings. Wellspring Capital Management is a leading private equity firm headquartered in New York. The court stated that expressions of opinion are actionable under New York law, but further stated: New York courts have also stated that statements of "mere puffery", or "statements founded entirely on speculation concerning future profits from proposed business endeavors" are not actionable. The plaintiff, Ronald J. Friedman, the trustee for the SportCo Creditors' Liquidation Trust, filed an omnibus response to the motions to dismiss [Docket No. We look forward to carrying forward that vision and continuing our success in the years ahead.". Munich, German Mnchen, city, capital of Bavaria Land (state), southern Germany. 1994)). Wellspring brought its assets under management to more than $4.4 billion as of January 2018. Va. June 8, 2011) (acknowledging that Maryland law is not clear regarding whether a fraudulent conveyance action sounds in tort, but concluding that "given that the gravamen of the fraudulent conveyance claim is the wrongfulness of the conveyance and the injury to the creditor, rather than balancing equities or fairness, it is appropriate to conclude that fraudulent conveyance claims sound in tort. The Debtors in the bankruptcy cases, pending in the District of Delaware, are SportCo Holdings, Inc.; Ellett Brothers, LLC; United Sporting Company, Inc.; Bonitz Brothers, Inc.; Evans Sports, Inc.; Jerry's Sports, Inc.; Outdoor Sports Headquarters, Inc.; Quality Boxes, Inc.; and Simmons Guns Specialties, Inc. We see how Bembury is able to walk the line of business convention while taking his art to new heights, turning ordinary items into extraordinary footwear. GitHub export from English Wikipedia. In an email obtained by . In considering what choice of law provisions to apply, the Fourth Circuit stated: The Court notes that there is a specific fraudulent conveyance section of the Bankruptcy Code. An actual fraudulent conveyance is any "conveyance made . Wellspring has the flexibility to complete transactions ranging from $100 million to as much as $1.5 billion in total value in a wide range of industries. Id. "To survive a motion to dismiss, 'a complaint must contain sufficient factual matter, accepted as true, to "state a claim to relief that is plausible on its face."'" SEC / JURISDICTION. Full title:Ronald J. Friedman, as the trustee for the SportCo Creditors' Liquidation, Court:UNITED STATES BANKRUPTCY COURT DISTRICT OF SOUTH CAROLINA. The firm, which is based in New York City, was founded in 1995 by Martin Davis and Greg Feldman. About Wellspring Capital Management Wellspring Capital Management is a leading private equity firm headquartered in New York. Fed. PLEASE SEE THIS LINK FOR FULL DISCLAIMER: This site is for informational purposes only. Id. Since its founding in 1995, Wellspring has raised over $4 billion of initial capital commitments through . My company, Asia Marketing and Management, has global ambitions but consists largely of me and the intelligence, experience, contacts, and per-sonality I bring to my clients . The District Court stated that "[w]hether a fraudulent conveyance claim should be characterized as a tort action is uncertain and disputed among American jurisdictions." Id. Try our Advanced Search for more refined results. Wellspring Capital Management Group LLC ("Wellspring"), a New York-based private equity firm, announced that on May 29, 2020, it closed the acquisition of Steele Solutions, Inc. ("SSI" or the "Company"), a value-add supplier into the industrial automation sector. PLEASE NOTE: A verification email will be sent to your address before you can access your trial. These are high quality companies, essential to the national, regional, or global economy but whose fundamental qualities are underappreciated and undervalued by the market. Charles E. Walker, Jr. argued in support of dismissal due to lack of a triggering creditor based on Prospect's secured status, failure to state a claim under New York law due to lack of insolvency, on equity grounds because Prospect failed to obtain a personal guaranty from Mr. Walker and because the distributions were specifically contemplated by the loan transaction, and due to failure to state a claim for fraudulent conveyance under South Carolina law. Contact:KekstMark Semer or Peter Hill212.521.4800, Cision Distribution 888-776-0942 Accordingly, Wellspring reinforces the importance of disinterested governance and arms length dealing in connection with the restructuring process. Investors in its most recent fund include the Washington State Retirement System, Minnesota State Board of Investment, Connecticut Retirement Plans & Trust Funds, Kansas Public Employees' Retirement