Cascio Interstate Music Co. and its affiliate Dynamic Music Inc. filed a petition under Chapter 128 of Wisconsin State Statutes. The petition, filed in Waukesha Circuit Court, is a strategic business move to position the Wisconsin company for new ownership. Chapter 128 is similar to Chapter 11 of the federal bankruptcy law, but is a more efficient, streamlined process.

The Chapter 128 filing will not affect day-to-day operations at the company’s operations which includes a retail store, corporate office and warehouses. Cascio is an omni-channel commerce company that sells musical instruments and accessories through a host of consumer and educational channels.    The company, which began in 1946, currently has 75 employees.  Seth E. Dizard, a Milwaukee lawyer, is the court appointed receiver at the Company’s request.

“We are planning to continue business as usual and plan to keep employees in place throughout the court process,” said Dizard.

Bids as a going concern will be solicited for the company as part of the Section 128 process with the winning bid to be determined by the court.  Dizard said that he hopes to be able to announce an agreement to sell the company as a going concern and that proposed buyers will asked to agree to offer employment to substantially all of the company’s current employees and acquire substantially all of the assets of Cascio. Any proposed sale is subject to court approval and higher or better bids, according to Dizard.

In the event the bidding process does not result in the sale of the business, Wisconsin Business Closing law have been provided in accordance with state law.

Continuing issues with financial performance and future investments that are needed to expand its online presence has led the shareholders to the conclusion that the company must be sold. Wadsworth Whitestar Consultants has been retained by the court appointed receiver to oversee the company’s continued operations and assist in the sale of its assets as a going concern.

No more articles