Boomerang Systems, Inc. Files for Bankruptcy

Logo PicCars Pic

Yesterday, August 18, 2015, Boomerang Systems, Inc. and three of its subsidiaries filed for Chapter 11 Bankruptcy protection in the United States Bankruptcy Court for the District of Delaware. The Company, which has its corporate offices located in Florham Park, New Jersey, is the developer and sole provider of the patent-pending Boomerang RoboticValet® automated parking system.

Automated robotic parking systems use robots and lifts to store and retrieve vehicles, enabling them to use up to 50% less space (than a ramp garage) to park the same number of cars without the labor, damage and privacy issues that come with valet drivers. According to their website, Boomerang Systems, Inc. has built these automated parking systems in the following locations in the United States: Miami, Florida; Hollywood Beach, Florida; Stuart, Florida; Champaigne, Illinois; Hardyston, New Jersey; and Lawrence, Kansas.

Boomerang Systems, LLC has listed assets estimated between 1 and 10 million dollars, along with estimated liabilities between 10 and 50 million dollars, according to documents filed in Bankruptcy Court yesterday. Currently, the Company is seeking a financial restructuring after one of its significant lenders defaulted, resulting in a lack of adequate working capital for Boomerang Systems, Inc. James Gelly, the Company’s CEO, said in a statement earlier today that, “Boomerang will not be discouraged by this event, and we are grateful for the strong and consistent support from our investor base. While we are obviously disappointed, our management team is highly motivated to develop and execute a plan of reorganization that will allow us to emerge in a stronger state and better able to serve our customers. We deeply regret the uncertainty and short-term impact on customers and employees.”

Advertisements

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s