South San Francisco-based indoor vertical farming company, Plenty Unlimited Inc. has initiated a voluntary Chapter 11 proceeding in the United States Bankruptcy Court for the Southern District of Texas as part of a strategic restructuring plan. The company aims to streamline its operations, address its financial liabilities, and concentrate on its premium strawberry farming business.
The filing, approved by the company’s Board of Directors, includes a commitment for US$ 20.7 million in debtor-in-possession (DIP) financing. Upon approval, this funding is expected to provide the necessary liquidity to sustain operations throughout the restructuring process. Plenty has also submitted a motion to secure court authorization for the financing, which will support its business as it moves through Chapter 11 proceedings.
Operations to Continue at Key Facilities
Despite the restructuring, Plenty will continue operating its vertical strawberry farm in Richmond, Virginia, as well as its research and development facility in Laramie, Wyoming. These locations are expected to remain functional as the company works through the bankruptcy process.
Dan Malech, Plenty’s Interim CEO, acknowledged the financial challenges facing the industry and the broader market conditions that have impacted the company’s ability to raise funds. He stated that after assessing all available strategic options, restructuring was determined to be the best course of action to ensure the long-term stability of the company.
Plenty’s Commitment to Premium Strawberry Production
Malech emphasized that Plenty remains committed to its mission of increasing access to fresh produce. The company intends to expand its production of premium strawberries, working with key industry partners to address a market gap for locally grown, high-quality strawberries available year-round. He expressed gratitude for the support of stakeholders who continue to believe in the company’s vision and future potential.
“Plenty is not immune from larger market dynamics and the fundraising challenges facing our industry. 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. We are fortunate to have stakeholders who support and believe in our mission to make fresh food accessible to everyone, everywhere. The restructuring will position us to continue working toward that mission by expanding our production of premium strawberries with industry-leading partners and filling a supply gap in the market to meet consumer demand for locally grown, high-quality strawberries year-round.”
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Court Filings and Employee Support Measures
In addition to seeking approval for DIP financing, Plenty has filed several motions to maintain business continuity. These include requests for authorization to pay employee wages and continue providing health and other benefits.
On March 23, 2025, Plenty Texas Unlimited, LLC, along with six affiliated debtors, submitted voluntary petitions for relief under Chapter 11. These cases are being jointly administered in the United States Bankruptcy Court for the Southern District of Texas, overseen by Judge Christopher M. Lopez.
Plenty’s leadership remains focused on stabilizing operations, securing financial resources, and continuing to meet consumer demand as it navigates the restructuring process.
