Del Monte Foods (NYSE:FDP), the U.S. division of Singapore’s Del Monte Pacific, has filed for Chapter 11 bankruptcy protection as it prepares to sell off much of its business.
The company said it has entered into a restructuring support agreement with key term-loan lenders, laying the groundwork for a sale of most or all of its assets as an ongoing operation.
As part of the court-supervised process, Del Monte Foods has secured $912.5 million in debtor-in-possession (DIP) financing, including $165 million in fresh capital from existing creditors. This funding will help the company maintain operations during the restructuring period.
According to Del Monte, the Chapter 11 process is aimed at strengthening the business for the future. Once the restructuring is complete, the company expects to emerge with a healthier balance sheet, improved liquidity, and new ownership that can support long-term stability and growth.