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K'nex toy maker to be auctioned by lender PNC Bank

K'nex is being sold by lender PNC Bank at an auction scheduled for Jan. 29.

The K’Nex Education Exploring Machines set retails for $174.99.
The K’Nex Education Exploring Machines set retails for $174.99.Read moreK'Nex

PNC Bank said in a legal notice published Thursday that it will sell K'nex, a Hatfield maker of construction toys, at auction on Jan. 29.

The notice said PNC already has a $21 million offer for the assets of K'nex. The assets are collateral for unspecified loans to the privately-held Montgomery County company.

K'nex, which was founded in 1992 as an offshoot of an injection molding company, did not respond to a request for comment about the circumstances that led to the planned sale. The company also owns classic toy brands Lincoln Logs and Tinkertoy.

A Cherry Hill printing company last month filed a complaint against K'nex in Superior Court of New Jersey alleging that K'nex was refusing to pay $90,530 in bills dating to last August.

K'Nex brought on outside investors Cathay Capital North America in 2016 as part of a plan to assist the founding Glickman family with a successful generational transition plan. The Cathay investment was also supposed to help K'nex expand globally by distributing in China, Europe, and other parts of the world.