in business, just mentor Mr.Frost and his mechanisms for conducting business.
There isn't very many of these wise ole owls left around. This is quite a last dance he is putting on at his age.
What is there not to like about the company that he is assembling here I ask?
Miami Beach billionaire Dr. Phillip Frost and other well-known corporate names have filed an apparently hostile takeover plan for Boca Raton-based data company TLO in bankruptcy.
The bid by Frost’s group, called Data Acquisition Group (DAG), includes more than $100 million in new financing – $65 million cash and a loan of $35 million.
TLO is the brainchild of Hank Asher, the father of “data fusion” techniques that presaged background check tools like Auto Track.
Frost, chairman of companies including Miami-based Opko Health, formed an acquisition group with Jules Kroll, founder of Kroll Inc., and Tom Glocer, former CEO of Reuters.
TLO has made some progress toward reorganizing since it filed for bankruptcy in January. It hired a new chief operating officer and retained an investment bank.
TLO’s bankruptcy attorney, Robert Furr, characterized the Frost plan as merely an attempt to bypass a bankruptcy court process. Furr said TLO has better offers, far above the $65 million cash level of DAG’s plan.
But the company is financially troubled, according to allegations filed by DAG.
Asher left TLO in financial distress when he died in January. His daughters – Carly Asher Yoost and Desiree Asher – stepped in and sought bankruptcy protection in Chapter 11 bankruptcy protection, declaring $109 million in debt.
TLO recently filed a request with the bankruptcy court seeking more time to get new financing. TLO argues that it has made significant progress toward reorganizing.
But Frost’s DAG is alleging that TLO hasn’t proved it can reorganize. According to the DAG motion:
• TLO is losing money, about $1.4 million during July alone, leaving it with less than $570,000 of cash availability.
• TLO has partially offset its $2.6 million of losses with $2 million of financing provided by the Ashers or their company, Technology Investors Inc.
• The original deadline to file a reorganization plan expired Sept. 6. The DAG plan was filed Sept. 27.