Although the sale to Alpha Acquico is over and finalized, there are a few more pieces of business left to officially transfer full ownership.
One of those actions was filed Thursday. A motion to begin the previously negotiated Transition Agreement between Alpha Entertainment, LLC, and Alpha OpCo, was filed and granted.
Alpha Opco, LLC is a subsidiary of Alpha Acquico, LLC, where they have entered into a partnership with CT Corporation, which is a compliance firm that helps with financial and legal issues.
It’s likely this LLC was created to handle situations like this Transition Agreement, to be sure everything was properly and legally handled while retaining their rights.
What this does, is set a date for any and all assets, employees, intellectual property, real property, and services that were previously part of the estate to fully become the property of the Buyer (Alpha Acquico). That date is Monday, September 14th. As of then, everything is theirs. Staff, services, property, tech, contracts and leases that have been assumed and assigned, become Alpha Acquico’s.
The Transition Agreement only allows for certain services to be rendered by the new owners that is necessary for Vince McMahon to finish the bankruptcy process. Those services must be paid for by the seller.
Without this agreement being part of Chapter 11 bankruptcies, the seller could continue to drag their feet, holding on to certain resources and employees while finishing up the process.
Thus delaying any progress the buyers could make if they had everything within their grasp.
In much easier terms to understand, come Monday, Vince’s connection with the XFL is completely severed. Anything he needs to have done by his former staff, or resources he used to have, he has to pay for. That starts with a $50,000 retainer.
The case within the court is not finished. Paperwork is still being filed to this day. Most recently the United Healthcare contract was ordered to be assigned by the new owners, after proving to the court that future business was to be had.
They have their insurance. They have their office space. Their property, and most of their leases to venues, practice facilities, and storage units are secured. There has been major progress over the last few weeks, and there is no sign that this would stop.
It’s likely that this dead period prior to this past week was the parties negotiating future deals. That over the next few days, more and more news will be released.
For now, we know that come Monday, Alpha Entertainment will be no more. Alpha Acquico will officially hold every asset they bought at auction, and the real progress can begin.
The first XFL employees start getting paid by the new XFL on Monday. Business can now commence.
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