Landauer Healthcare Holdings, Inc. and several of its affiliates filed for Chapter 11 bankruptcy in Delaware. Assets and liabilities listed are between $50 and $100 million. Landauer is a provider of HME and related products and services to more than 240,000 patients spanning eight states, while employing close to 650 employees at 32 business locations.
Landauer noted that it encountered financial and operational issues after losses tied to competitive bidding. On the July 1, 2013, they were no longer allowed to provide services to Medicare patients, affecting their overall customer base.
After a failed attempt to sell its assets to a competitor, Landauer faced litigation in late July. Continued efforts in the search to find a buyer proved successful when the company was sold to Quadrant Management, Inc. According to the Landauer Affidavit, they have secured use of cash collateral in order to get a bid procedures order entered by August 31.