Xyience Update

September 25, 2008

The Deal.com catches us up to speed on the recent developments in the ongoing saga of Xyience. The company itself seems to be down for the count but the legal proceedings are headed for a five round decision:

Xyience is on the verge of liquidating. Its assets were sold for $15 million to Manchester Consolidated Corp. in April and Judge Mike Nakagawa of the U.S. Bankruptcy Court for the District of Nevada in Las Vegas confirmed its wind-down plan on Aug. 26.

But fisticuffs, and worse, are far from over. Litigation surrounds the former maker of the power drink known as Xenergy and the seemingly endless cast of characters involved in its creation, its day-to-day management and its descent into Chapter 11.

The article from there does a good job of summarizing the questionable history of the founder, the impending fall from grace for the company, and the various legal entanglements that have sprung forth in the aftermath.

The entire article is worth a read. There will be more movement soon in the case, as indicated in the closing portion of the article:

A status conference on the shareholders committee’s and Bergeron’s lawsuits is scheduled for Oct. 8. ……. A status conference on the unsecured creditors’ committee’s lawsuit will take place the same day. Zyen and the Fertittas have sought dismissal for that case, too.

Thanks to Fightlinker for the find.

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