"Food52 Inc., the buzzy cooking and home-decor company based in Brooklyn, filed for bankruptcy protection this week after a massive round of layoffs earlier this month. The 16-year-old company's lender yanked its funding on Dec. 15, leaving Food52 - which also owns the tableware brand Dansk and home-decor brand Schoolhouse - with no money in the bank. "Overnight, the company found itself scrambling for survival," according to the filing in Delaware bankruptcy court."
"One of Food52's suitors, Boston-based America's Test Kitchen, which broadcasts a cooking show on on public TV stations, emerged as the stalking-horse bidder agreeing to purchase the once high-flying company for $6.5 million, America's Test Kitchen announced Tuesday. That's a far cry from Food52's $100 million valuation in 2019 when private equity firm the Chernin Group forked over $83 million for a majority stake, according to a Wall Street Journal report."
Food52 Inc. filed for Chapter 11 bankruptcy after a round of layoffs and Avidbank pulled funding on Dec. 15, leaving the company with no cash. The company owns Dansk and Schoolhouse and had been seeking a buyer. Food52 struggled after acquiring Dansk and Schoolhouse, managing three distinct brands with few synergies while facing executive turnover, strategy changes and staff attrition. America's Test Kitchen emerged as a stalking-horse bidder with a $6.5 million bid. Food52 had been valued at about $100 million in 2019 when the Chernin Group bought a majority stake for $83 million. Erika Badan submitted the bankruptcy filing while leading the company from its Brooklyn Navy Yard studios.
Read at New York Post
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