Prima Wawona, atone fruit producer based in Fresno, Calif., filed for Chapter 11 bankruptcy protection Oct. 13, 2023, citing in a statement “significant headwinds, including increased costs and weather-related impacts, that have combined to make our existing capital structure unsustainable.”
Coming on the heels of the company’s largest 2023 stone fruit season harvest to date, Prima Wawona said it hopes to sell the business through the bankruptcy proceedings. With the support of its current owner Paine Schwartz Partners, the company is seeking a third-party sale or a conversion of existing lender debt into equity ownership.
“Over the course of this year, we proactively evaluated options intended to enable us to build on our leading market position, our efficient and sustainable farming practices and our history as an employer of choice,” Prima Wawona CEO John Boken said in a news release. “We are pleased that our lenders have reached an agreement and fully support this ownership transition that charts a path forward to strengthen Prima Wawona and position the business for long-term success.”
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The court-supervised process allows for the possibility that a third-party buyer will emerge as the owner of the business as an alternative to our lenders, Boken continued.
“The entire Prima Wawona organization is focused on working through this process as quickly as possible,” he said.
Founded in 2019 as the product of a Gerawan Farming and Wawona Packing merger, Prima Wawona is seeking to continue serving its customers in the company’s next chapter, the release said. As such, Prima Wawona has filed for court approval to continue its operations, pay its more than 8,000 employees and to serve customers through the entire transition process.
What’s more, the company confirmed in a statement that it intends to pay vendors for the goods and services provided on or after the filing date.
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“As we move forward, we are committed to our industry-leading farming practices and continuing to provide the high-quality stone fruit for which Prima Wawona is known,” Boken said in the release. “We thank our customers and partners for their ongoing support, and we look forward to continuing to serve them. We are grateful to the entire Prima Wawona team for their hard work and dedication at this important time in the history of our company.”
Vendors and customers can learn more, access resources and review frequently asked questions on Prima Wawona’s site.
