Sorry to do a follow up post so soon, but we just received official word that Gruet has backed out on the Cap*Rock sale. VintageTexas posted the following details on his blog moments ago -
I received a call from Max Tarbox, attorney for the CapRock Auction
Sale early this afternoon indicating the he has received permission from
the Bankruptcy Judge Robert Jones to proceed with a new auction for the
sale of the CapRock Winery.
Mr. Tarbox was informed by Laurent Gruet that he does not plan to go
through with the purchase the CapRock Winery despite that fact that he
was the highest bidder in the previous auction for the winery held in
Lubbock, Texas earlier this month.
The deadline for the new auction, which will be held by sealed bid is
midnight August 3, 2010. Judge Robert Jones will hold a hearing on
August 4, 2010, regarding the auction results and any potential contest
of the new auction, since the usually notice period for such proceedings
was not given .
There will be a press conference at CapRock Winery today at 2:30 pm at:
408 E. Woodrow Road, Lubbock, Texas 79423
Mr. Tarbox will be present along with representatives from the
Williams & Williams auction house to make statements and answer
I will be attempting to provide coverage of the press conference. I will update this post later today with more details.
Update - I just returned from the press conference at Cap*Rock Winery. The sale to Gruet Winery has indeed fallen through, due to Laurent Gruet being unable to acquire the funding needed for the deposit from the sale, which was 10% of the $6.5 million purchase price. Gruet was in France last week to try to get the needed money, but was unable to raise the amount required for the deposit.
The property will be re-auctioned by a rolling sealed bid process that will be completed on Tuesday, August 3rd. If the court approves the sale, the new owner will be announced on August 4th. The bids will be taken from qualified bidders, who will be required to put up a deposit of $100,000. Max Tarbox indicated in the press conference that this kind of situation is not common, and that once the sale is completed a determination will be made on whether Gruet will be subject to paying any damages, but that the amount could be up to any difference between the eventual sale price, and the amount that Gruet bid in the original auction.
I am working on getting together some more organized notes and some video from the press conference, and I will be updating again soon.
Update - Here is the video from the press conference. Granted, this video is not nearly as exciting as the one that I posted after the auction, but there is a lot of good information here, and many of the questions that people have been asking are answered by Mr. Tarbox.