Fountain Powerboat Industries Inc., parent company of Fountain Powerboats, has been allowed to reorganize and retain its assets.
Following a hearing held in the U.S. Bankruptcy Court in the Eastern District of North Carolina on Friday morning, chief bankruptcy judge Randy Doub ruled in favor of Fountain and will allow the company to restructure its Chapter 11 bankruptcy protection and reorganize with Liberty Investments.
As previously reported in the Daily News, the investment group will be majority shareholders in the company. Liberty will help finance the reorganization of the company and help the company pay off its creditors. Reggie Fountain will be retained as the sportboat company’s president and CEO under the new deal.