Boston, MA 10/16/2014 (wallstreetpr) – GT Advanced Technologies Inc. (NASDAQ:GTAT) push to close down business after filing for bankruptcy is set to take longer than initially thought as a hearing on the same has been pushed to the 21st of October. A number of creditors as well as Apple Inc. (NASDAQ:AAPL) have already agreed to the postponement according to the filling on a U.S bankruptcy Court in Manchester.
Intricacies of the Filing
The hearing has been delayed to allow a set-up committee to sign a number of confidentiality documents, as well as give the preceding judge time familiarize himself with happenings of the case. There are a number of factors that are slowing the bankruptcy process especially a sealed confidentiality agreement between Apple and GT Advanced Technologies Inc. (NASDAQ:GTAT).
The ailing Saphire Company is trying to seal a number of agreements it made with Apple Inc. (NASDAQ:AAPL) to avoid a penalty of up to $50 million being imposed on it. The State as well as the department of Justice have already objected to the way a number of documents are being concealed. Apple has already been asked to provide all the documents related to its contract with GT Advanced Technologies Inc. (NASDAQ:GTAT) that it wants to be sealed during the re-organization process.
GTAT –Apple Agreement
GTAT Advanced was forced to file for bankruptcy last week without providing reasons behind the move as many analysts continue to speculate it could have been caused by a Saphire agreement it made with Apple last year. GT Advanced Technologies Inc. (NASDAQ:GTAT) looks to have been thrown into disarray after Apple failed to live to its expectation in choosing it for the Saphire glass material that was later used on iPhone 6.
Filing for bankruptcy comes a year after GTAT Advanced entered into an agreement with Apple Inc. (NASDAQ:AAPL) where it was given financing to construct a Saphire glass plant that it hoped would give it a lifeline in the market. Should GT Advanced Technologies Inc. (NASDAQ:GTAT) go down hundreds of employees are set to lose their jobs at the newly built Saphire plant.
