Benson Hill, Inc., a seed innovation company, announced Monday it has filed for Chapter 11 bankruptcy protection in the U.S. Bankruptcy Court for the District of Delaware. The company intends to pursue a sale of its business under Section 363 of the Bankruptcy Code while continuing to support its farmers, partners and customers.
To maintain operations during the restructuring process, Benson Hill has secured a commitment of approximately $11 million in debtor-in-possession financing, pending court approval. The company has also filed several "first-day" motions to continue its ordinary course of operations.
Dan Jacobi, chairman of Benson Hill's board of directors, said, "Despite our efforts to transform our business, including reducing costs, divesting assets, retiring debt, and optimizing our operations by transitioning to a licensing model, 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."
The company highlighted its progress in developing soybeans with enhanced compositional traits, aimed at delivering value for end users and improved sustainable solutions for growers.
Faegre Drinker Biddle & Reath LLP is serving as legal counsel, and Piper Sandler & Co. as investment banker for Benson Hill during the restructuring process.
Information about the Chapter 11 case is available on a website maintained by the company's claims agent, Stretto, Inc.
