Poolin Technology Navigates Bankruptcy with $52 Million Texas Asset Sale
Poolin Technology has officially entered Chapter 11 bankruptcy, proposing a $52 million sale of its West Texas mining assets to address a long-standing liquidity crisis. The move aims to provide a path for recovery for over 11,000 wallet holders who have been holding IOUs since 2022, though the road to full reimbursement remains complex and uncertain.
A Strategic Liquidation of Mining Infrastructure
The core of the bankruptcy restructuring involves the sale of two major asset packages, Tarbush and Pyote, to prospective buyer Thor CALAP LLC. Under the current proposal, Thor would pay $37 million for the Tarbush assets and $15 million for the Pyote site, with significant deposits already secured. However, the deal remains in a delicate stage as the buyer maintains the right to terminate the agreement by August 9 if due diligence proves unsatisfactory. Operations at these sites were halted in early July, and the debtors have signaled that they have no intention of resuming mining, focusing instead on a swift liquidation process.
Uncertainty for Wallet Creditors
While the $52 million price tag is substantial, it covers only a fraction of the $173.1 million in preliminary prepetition obligations. Roughly 11,700 wallet holders with balances over $100 are currently holding $163.7 million in IOUs, yet their recovery is complicated by the company's corporate structure. The mining assets are held by Lonestar Dream and Lonestar Taproot, while the wallet liabilities sit within Poolin Technology, necessitating a complex intercompany claim process to distribute funds. Ultimately, the amount available to creditors will depend on administrative costs, professional fees, and how the court allocates value between the different debtor estates.
The Road to Final Approval
The bankruptcy court has scheduled a hearing for August 14 to discuss the bidding procedures and the proposed sale motion. If the court approves, an auction could take place as early as September 10, potentially inviting higher bids from other interested parties who have already shown interest. A final sale hearing is projected for September 16, which will be the decisive moment for determining the fate of the Texas assets and the timeline for creditor payouts. The success of this restructuring hinges on whether the current offer remains standing and if competition can drive the asset value higher to benefit the thousands of waiting creditors.
