Despite a major financial restructuring, it’s “business as usual” for one of California’s legacy table grape growers. Delano-based Hronis Inc. has successfully concluded its Chapter 11 auction with senior lender Conterra Ag Capital emerging as the winning bidder — a move backed by a newly expanded $54 million credit facility that it says guarantees uninterrupted shipping as one of the earliest harvests in the state’s history gets underway.
Conterra Ag Capital, an Iowa-based direct lending fund focused exclusively on the agriculture sector, provided the working capital support for the 2026 growing season and recently expanded Hronis’ working capital from $22 million to $54 million. The expanded financing will support harvest operations as the transaction progresses toward closing, the company says.
For now, the multigenerational, family-owned Hronis says it’s squarely focused on the 2026 harvest.
“Conterra will be working closely with the existing team including the Hronis family to complete a successful 2026 season,” says Emily Dale, Hronis spokesperson. “Right now, our focus is on harvest, and it’s business as usual across the operation.”
Hronis says as day-to-day operations remain unchanged, so too does the company’s commitment to serving its customers for the 2026 season.
“We don’t anticipate any delays that would affect day-to-day operations,” says Dale. “Conterra is committed to providing working capital to support the harvest both before and after the close, as it has since 2024.”
Hronis says the 2026 season is “just the beginning of a new era of growth,” as it readies to face the macroeconomic challenges hitting California agriculture, such as rising labor costs, water access regulations and weather volatility.
“Right now, the focus is on completing a successful harvest and closing the transaction,” says Dale. “Beyond that, Conterra will work with the existing team to evaluate the company’s long-term strategy.
“Like many agricultural businesses, we are looking at every opportunity to invest that will meet the challenges … such as replanting with more climate-resilient vines and varieties,” she continues. “Those decisions haven’t been made yet, and the team will have more to say once Conterra has had the opportunity to fully assess the business after the season.”
Harvest is already underway across Hronis’ vineyards, and as this year’s harvest marks one of the earliest starts to the California table grape season in history, Hronis says retailers will have additional promotional opportunities and the possibility of an extended selling season.
“One of the biggest advantages is having more time to harvest,” Dale says of the early start. “In recent years, we’ve seen heavy rains later in the season. Starting earlier gives Hronis the opportunity to get more grapes off the vine before that kind of weather becomes a factor, particularly this year, given predictions of a potentially extreme El Niño cycle. That’s good for Hronis, and it’s good for retailers because it creates a longer selling season and more opportunities to promote California grapes to consumers.”
Paladin Management Group is serving as chief restructuring officer to Hronis Inc. and continues advising the company through the Chapter 11 process. The transaction was approved by the court and is expected to close by mid-July, subject to customary closing conditions, according to the company.
