Plenty Files for Chapter 11 Bankruptcy
March 25, 2025 On March 24, vertical farming company Plenty announced it has filed for Chapter 11 bankruptcy. The company received a commitment for $20.7 million in debtor-in-possession (DIP) financing as part of its proposed restructuring plan and will continue to operate its strawberry farm in Virginia as well as its research and development facility in Wyoming.
If approved, the DIP financing could provide the company with the necessary liquidity to streamline operations and reconstruct its liabilities throughout the restructuring process. Plenty has also filed several customary motions for authority to pay wages and provide employee benefits.
“Our company is not immune from larger market dynamics and the fundraising challenges facing our industry,” Dan Malech, the company’s interim CEO, said via press release. “After evaluating all of our strategic alternatives, we have determined that pursuing this restructuring process is in the best interests of all of the company’s stakeholders.”
Since it was first established in 2014, Plenty raised almost $1 billion in funding from Jeff Bezos, Walmart, Softbank Investment Advisers, and more. According to Pitchbook, its last known valuation was $1.9 billion in January 2022.
