Del Monte Foods Initiates Chapter 11 Proceedings to Facilitate Sale and Restructuring
WALNUT CREEK, CA, July 2, 2025 – Del Monte Foods, Inc., a cornerstone of American pantries for over a century, today announced that it has voluntarily commenced Chapter 11 proceedings in the U.S. Bankruptcy Court for the District of New Jersey. The company has taken this decisive step to pursue a court-supervised sale of its assets and to restructure its balance sheet for long-term viability.
The company has secured $912.5 million in debtor-in-possession (DIP) financing from its existing lenders. This financing, subject to court approval, is expected to provide sufficient liquidity to support the company’s operations, including its supply chain, employee wages, and other obligations, throughout the sale process.
In a statement, Del Monte Foods’ President and CEO, Greg Longstreet, characterized the filing as a “strategic step forward.” He stated, “After a thorough evaluation of all available options, we determined a court-supervised sale process is the most effective way to accelerate our turnaround and create a stronger and enduring Del Monte Foods. With an improved capital structure, enhanced financial position, and new ownership, we will be better positioned for long-term success.
“The bankruptcy filing is attributed to a confluence of factors that have challenged the company. These include significant debt, increased interest expenses, and a notable shift in consumer behavior away from canned goods towards fresh or private-label alternatives. The macroeconomic environment, including inflationary pressures on costs and consumer spending, has further intensified these challenges. Court filings indicate the company’s assets and liabilities are estimated to be between $1 billion and $10 billion.
It is crucial to note that this Chapter 11 filing is specific to Del Monte Foods, Inc., the U.S.-based subsidiary of the Singaporean and Philippine-listed Del Monte Pacific Limited. The parent company and its other subsidiaries, including Fresh Del Monte Produce Inc., are not part of these proceedings and continue to operate as usual.
Del Monte Foods, which includes well-known brands such as Contadina, College Inn, and Kitchen Basics, intends to continue its operations without interruption during the restructuring. The company has filed customary “first day” motions to ensure a smooth transition and maintain business as usual for its customers, suppliers, and employees. The process is aimed at maximizing value for all stakeholders and ensuring the iconic brand continues to serve consumers.
Try Transfergratis today and optimize your international financial flows! The Transfergratis platform is a free, fast, and secure money transfer service from Canada to Africa. Download the app on the Play Store or the App Store.
