The count of potential suitors for bankrupt Delphi is now up to at least six, according to reports.
Federal-Mogul, billionaire investor Wilbur Ross and Delphi’s bankruptcy lenders including hedge fund Elliott Management are considering bids that could compete with private equity firm Platinum Equity, the sources said.
Livonia, Michigan-based parts supplier TRW has looked at Delphi’s books but was unlikely to submit a bid on Friday, one source told the news agency.
Appaloosa Management, which backed out of a plan to support Delphi’s emergence last year, had also considered a new bid, according to two sources, but was not expected to submit an offer, a third source said.
Reuters noted that TRW had bought a portion of Delphi’s North American brake manufacturing business in late 2007 and had been seen as eager to broaden its automotive safety offerings.
Delphi’s debtor-in-possession lenders, including Elliott Management, were considering a credit bid using the amount they were owed under Delphi’s bankruptcy loan, sources said.
Sources also said the bidders had been drawn to the potential for Delphi’s international business which was kept out of the bankruptcy process.
An auction will take place on 17 July if any other qualified bids are made today (10 July). A hearing is scheduled for July 23 to approve the sale plan.