Source: Benson Hill news release
ST. LOUIS, MO โ Benson Hill, Inc. (Nasdaq: BHIL, โBenson Hillโ), a seed innovation company, today announced that it and its subsidiaries (collectively, the โCompanyโ) filed voluntary petitions for relief under Chapter 11 of Title 11 of the U.S. Bankruptcy Code (โChapter 11โ) in the United States Bankruptcy Court for the District of Delaware (the โCourtโ). The Company further disclosed that it intends to pursue a sale of its business under Section 363 of the Bankruptcy Code, including a sale of all or a portion of the Companyโs assets, while continuing to support its farmers, partners and customers during 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 $11 million in Debtor-in-Possession financing. Following Court approval, the Company expects this financing to provide the necessary liquidity to support operations throughout the Chapter 11 process.
The Company has filed a variety of โfirst-dayโ motions containing customary relief intended to support the Companyโs 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.
โBenson 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,โ said Dan Jacobi, Chairman of the Board of Directors of Benson Hill. โWe 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.โ
Court filings and information about the Chapter 11 case can be found at a website maintained by the Companyโs claims agent Stretto, Inc. here. 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 natureโs genetic diversity in soy quality traits through a combination of its proprietary genetics, its AI-driven CropOSยฎ 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.
