BIOTA Sells for $3.8 million at Auction
Published October 31st, 2007
BIOTA Brands of America, Inc. was sold at an on-site auction on Tuesday, Oct. 30 to an organic fertilizer company called Black Gold based out of Lubbock, Texas.
Spokesperson Kyle Zahn of Black Gold said the future of the plant is not certain.
Black Gold bought the “first option” of sale, which was the complete business. It comprises of the land, 3.02 acres; two plant buildings, one 36,500 square feet and the other 21,500 square feet; an attached 15,000-square-foot warehouse; the machinery and equipment; numerous office and factory materials ranging from brooms to bottle caps; and the intellectual and property rights of BIOTA Brands.
GoIndustry Asset Sales and Service handled the auction for UPS Capital Business Credit, BIOTA’s principal creditor. Through court orders obtained this year, UPS obtained legal possession of most of the assets of the company, which are located on the north end of Ouray. BIOTA’s owners, Michael and David Zutler, lost their business at a foreclosure sale on Aug. 8 when UPS Capital Business Credit paid $3 million for the land, plant and equipment.
An effort by BIOTA’s owners to stave off the sale this summer by obtaining new investor partners was unsuccessful. According to the Ouray County Treasurer’s office, the required Intent to Redeem form was not forthcoming before the Oct. 22 deadline.
The goal of BIOTA was to become the world’s first water bottling company utilizing earth-friendly, biodegradable products derived from corn syrup.
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