First Brands Sells 12 Major Brands Including Fram and Autolite for $25M

Key Details Bankrupt auto parts maker First Brands Group has agreed to sell 12 recognizable brands including Fram, Autolite, and Trico to PGI Northstar for $25 million. The deal also transfers certain liabilities to the buyer. Court approval is required before the sale can close. Why It Matters First Brands lost potential bidders as customer orders dried up and cash reserves depleted. The company was unable to resume operations without substantial funding, causing major customers like Ford and Honda to depart. This represents the second major asset sale as First Brands winds down operations. Background First Brands shut down 17 facilities and eliminated 4,000 jobs earlier this year after managers discovered widespread fraud. The company's founder Patrick James and brother Edward face criminal fraud charges. Revenue from these sales must be distributed to creditors harmed by the corporate fraud that led to the bankruptcy.