Benson Hill Files Voluntary Chapter 11 Petitions
Benson Hill (Nasdaq: BHIL), a seed innovation company, has filed for Chapter 11 bankruptcy protection in the United States Bankruptcy Court for the District of Delaware. The company plans to pursue a sale of its business under Section 363 of the Bankruptcy Code, which may include selling all or part of its assets.
The company has secured approximately $11 million in Debtor-in-Possession financing to maintain operations throughout the Chapter 11 process, pending court approval. Benson Hill has filed various 'first-day' motions to continue its ordinary operations, including servicing customers and honoring employee obligations.
Despite efforts to transform the business through cost reductions, asset divestitures, debt retirement, and transitioning to a licensing model, the company's board determined that Chapter 11 was the best path forward due to industry challenges and financial constraints.
Benson Hill (Nasdaq: BHIL), un'azienda di innovazione nel settore dei semi, ha presentato domanda di protezione ai sensi del Capitolo 11 presso il Tribunale Fallimentare degli Stati Uniti per il Distretto del Delaware. L'azienda prevede di perseguire la vendita della propria attività ai sensi della Sezione 363 del Codice Fallimentare, che potrebbe includere la vendita totale o parziale dei suoi beni.
L'azienda ha assicurato circa $11 milioni in finanziamenti per Debitori in Possesso per mantenere le operazioni durante il processo del Capitolo 11, in attesa dell'approvazione del tribunale. Benson Hill ha presentato varie mozioni 'primo giorno' per continuare le proprie operazioni ordinarie, incluso il servizio ai clienti e il rispetto degli obblighi verso i dipendenti.
Nonostante gli sforzi per trasformare l'azienda attraverso riduzioni dei costi, dismissioni di beni, estinzione del debito e transizione a un modello di licenza, il consiglio dell'azienda ha determinato che il Capitolo 11 fosse il migliore percorso da seguire a causa delle sfide del settore e delle restrizioni finanziarie.
Benson Hill (Nasdaq: BHIL), una empresa de innovación en semillas, ha solicitado protección por quiebra bajo el Capítulo 11 en el Tribunal de Quiebras de los Estados Unidos para el Distrito de Delaware. La empresa planea llevar a cabo la venta de su negocio bajo la Sección 363 del Código de Quiebras, lo que puede incluir la venta total o parcial de sus activos.
La empresa ha asegurado aproximadamente $11 millones en financiamiento para Deudores en Posesión para mantener las operaciones durante el proceso del Capítulo 11, a la espera de la aprobación del tribunal. Benson Hill ha presentado varias mociones de 'primer día' para continuar con sus operaciones ordinarias, incluyendo el servicio a clientes y el cumplimiento de obligaciones con los empleados.
A pesar de los esfuerzos por transformar el negocio a través de reducciones de costos, desinversiones de activos, pago de deudas y transición a un modelo de licencias, la junta de la empresa determinó que el Capítulo 11 era el mejor camino a seguir debido a los desafíos de la industria y las limitaciones financieras.
벤슨 힐 (Nasdaq: BHIL), 종자 혁신 회사가 델라웨어 지방법원에서 챕터 11 파산 보호를 신청했습니다. 이 회사는 파산법 제363조에 따라 사업 매각을 추진할 계획이며, 이는 자산의 전부 또는 일부를 판매하는 것을 포함할 수 있습니다.
이 회사는 챕터 11 절차 동안 운영을 유지하기 위해 약 $11 백만의 파산 중 채무자 자금을 확보했으며, 법원의 승인을 기다리고 있습니다. 벤슨 힐은 고객 서비스 및 직원 의무 이행을 포함하여 정상적인 운영을 계속하기 위해 여러 '첫날' 모션을 제출했습니다.
비용 절감, 자산 매각, 부채 상환 및 라이센스 모델로의 전환을 통해 비즈니스를 변화시키려는 노력에도 불구하고, 회사의 이사회는 산업의 도전과 재정적 제약으로 인해 챕터 11이 최선의 경로라고 판단했습니다.
Benson Hill (Nasdaq: BHIL), une entreprise d'innovation dans le domaine des semences, a déposé une demande de protection au titre du Chapitre 11 auprès du Tribunal des faillites des États-Unis pour le district du Delaware. L'entreprise prévoit de poursuivre la vente de son activité en vertu de l'article 363 du Code des faillites, ce qui pourrait inclure la vente de tout ou partie de ses actifs.
L'entreprise a sécurisé environ 11 millions de dollars en financement pour débiteurs en possession pour maintenir ses opérations tout au long du processus du Chapitre 11, en attendant l'approbation du tribunal. Benson Hill a déposé diverses motions 'premier jour' pour continuer ses opérations ordinaires, y compris le service aux clients et le respect des obligations envers les employés.
Malgré les efforts pour transformer l'entreprise par des réductions de coûts, des cessions d'actifs, le remboursement de dettes et la transition vers un modèle de licence, le conseil d'administration de l'entreprise a déterminé que le Chapitre 11 était le meilleur chemin à suivre en raison des défis de l'industrie et des contraintes financières.
Benson Hill (Nasdaq: BHIL), ein Unternehmen für Saatgutinnovation, hat beim US-Insolvenzgericht für den Bezirk Delaware Schutz nach Kapitel 11 beantragt. Das Unternehmen plant, einen Verkauf seines Geschäfts gemäß Abschnitt 363 des Insolvenzrechts zu verfolgen, was den Verkauf aller oder eines Teils seiner Vermögenswerte umfassen kann.
Das Unternehmen hat etwa 11 Millionen US-Dollar an Finanzierungen für Schuldner in Besitz gesichert, um die Betriebsabläufe während des Chapter 11-Verfahrens aufrechtzuerhalten, vorbehaltlich der Genehmigung des Gerichts. Benson Hill hat verschiedene 'Ersttag'-Anträge gestellt, um die normalen Betriebsabläufe fortzusetzen, einschließlich der Bedienung von Kunden und der Erfüllung von Verpflichtungen gegenüber Mitarbeitern.
Trotz der Bemühungen, das Geschäft durch Kostensenkungen, Vermögensverkäufe, Schuldenabbau und den Übergang zu einem Lizenzmodell zu transformieren, stellte der Vorstand des Unternehmens fest, dass Kapitel 11 der beste Weg nach vorne war, angesichts der Herausforderungen in der Branche und der finanziellen Einschränkungen.
- Secured $11 million in Debtor-in-Possession financing to maintain operations
- Continuing normal business operations during restructuring
- Maintaining service to customers and honoring employee obligations
- Filed for Chapter 11 bankruptcy protection
- Forced to pursue sale of all or part of company assets
- Business transformation efforts and cost-cutting measures proved insufficient
- Facing significant industry challenges and financial constraints
Insights
Benson Hill's Chapter 11 bankruptcy filing represents a critical financial restructuring with severe implications for shareholders. This filing allows the company to continue operations while seeking protection from creditors, but signals fundamental viability concerns despite efforts to transform the business through cost reductions, asset divestitures, debt retirement, and transition to a licensing model.
The
For equity holders, Chapter 11 filings generally result in substantial or complete loss of investment value, as creditors' claims take priority in the capital structure. While the "first-day motions" allow continued operations and customer service in the near term, the focus has clearly shifted to orderly liquidation rather than long-term viability.
The Board's statement citing "industry challenges and financial constraints" suggests both company-specific issues and broader sectoral headwinds that ultimately overwhelmed their transformation efforts in the seed innovation space.
- Debtor-in-Possession Financing Secured to Support Ongoing Operations and Chapter 11 Process.
- Company Filed a Variety of First-Day Motions, Subject to Court Approval.
Benson Hill Files Voluntary Chapter 11 Petitions - Debtor-in-Possession Financing Secured to Support Ongoing Operations and Chapter 11 Process. - Company Filed a Variety of First-Day Motions, Subject to Court Approval. - Dan Cosgrove Appointed Interim CEO to Lead the Company Through the Chapter 11 Process.
To facilitate this process, in addition to having the use of its existing cash reserves, the Company has received a commitment of approximately
The Company has filed a variety of “first-day” motions containing customary relief intended to support the Company’s ability to continue its ordinary course of operations, such as continuing to service its customers and honor its obligations to its remaining employees, as the Company begins its efforts to effectuate the sale of its assets.
“Benson Hill has made significant strides in advancing our seed innovation portfolio by developing soybeans with enhanced compositional traits that deliver value creation for end users and improved sustainable solutions for growers,” said Dan Jacobi, Chairman of the Board of Directors of Benson Hill. “We have worked diligently to transform our business, including reducing costs, divesting assets, retiring debt, and optimizing our operations by transitioning to a licensing model. Despite our efforts, a combination of industry challenges and financial constraints has led the Board to determine that a process under Chapter 11 is the best path forward.”
Court filings and information about the Chapter 11 case can be found at a website maintained by the Company’s claims agent Stretto, Inc., at https://cases.stretto.com/bensonhill. Faegre Drinker Biddle & Reath LLP is serving the Company as legal counsel, and Piper Sandler & Co. is serving the Company as investment banker.
About Benson Hill
Benson Hill is a seed innovation company that unlocks nature’s genetic diversity in soy quality traits through a combination of its proprietary genetics, its AI-driven CropOS® technology platform, and its Crop Accelerator. Benson Hill collaborates with strategic partners to create value throughout the agribusiness supply chain to meet the demand for better feed, food, and fuel. For more information, visit bensonhill.com or on X, formerly known as Twitter at @bensonhillinc.
Cautionary Note Regarding Forward-Looking Statements
This press release contains certain “forward -looking statements” within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. Forward-looking statements are based upon assumptions made by the Company as of the date hereof and are subject to risks, uncertainties, and other factors that could cause actual results to differ materially from those expressed or implied by such forward-looking statements. Among those risks, uncertainties and other factors are: (i) the Company’s ability to obtain Court approval with respect to motions or other requests made to the Court in the Chapter 11 process, including maintaining strategic control as a debtor-in-possession; (ii) the ability of the Company to negotiate and consummate a sale transaction; (iii) the effects of the Chapter 11 filing on the Company and on the interests of various constituents; (iv) Court rulings in the Chapter 11 process in general; (v) the length of time that the Company will operate under Chapter 11 protection and the continued availability of operating capital during the pendency of the proceedings; (vi) risks associated with third party motions in the Chapter 11 process, which may interfere with the Company’s ability to negotiate and consummate a sale transaction; (vii) the potential adverse effects of the Chapter 11 proceedings on the Company’s liquidity or results of operations; (viii) increased advisory costs during the pendency of the proceedings; and (ix) other factors disclosed by the Company from time to time in its filings with the Securities and Exchange Commission, including those set forth in the sections entitled “Risk Factors” and “Cautionary Note Regarding Forward-Looking Statements” in our Annual Report on Form 10-K for the year ended December 31, 2023 and its Quarterly Reports, which are available on the SEC’s website at www.sec.gov. There may be additional risks about which the Company is presently unaware or that the Company currently believes are immaterial that could also cause actual results to differ from those contained in the forward-looking statements. The reader should not place undue reliance on forward-looking statements, which speak only as of the date they are made. The Company expressly disclaims any duty to update these forward-looking statements, whether as a result of new information, future events or otherwise, except as otherwise required by law.
View source version on businesswire.com: https://www.businesswire.com/news/home/20250320235229/en/
Christi Dixon: (636) 359-0797 / cdixon@bensonhill.com
Source: Benson Hill
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