Plenty Unlimited Files for Chapter 11 Bankruptcy, Plans Restructuring

Plenty Unlimited has filed for Chapter 11 bankruptcy protection, citing financial difficulties and ongoing lawsuits from contractors. The company announced it has secured $20.7 million in debtor-in-possession financing to support its operations during the restructuring process. With over $100 million in assets and liabilities, Plenty plans to continue operating its strawberry farm in Chesterfield, Virginia, while closing a less profitable farm in Compton, California, to focus on its Richmond facility. Interim CEO Daniel Malech admitted that the company has struggled with negative cash flow since its inception and has faced challenges in securing new investments. Plenty's bankruptcy is part of a broader trend of financial struggles within the vertical farming industry, which has seen multiple companies file for bankruptcy in recent years. The company aims to streamline operations and explore options for raising additional capital or selling its assets as it navigates the restructuring process.