Tupperware cancels auction, agrees to lender takeover

23/10/2024 12:31

        Bankrupt Tupperware Brands agreed on Tuesday to sell its business to a group of lenders for $23.5 million in cash and over $63 million in debt relief, canceling its plans for an open-market auction of its assets.
        
        The food storage and kitchen products company announced the deal at a bankruptcy court hearing in Wilmington, Delaware. U.S. Bankruptcy Judge Brendan Shannon said he would quickly schedule a separate court hearing to consider approval of the sale, which was likely the best result given the company's "difficult and challenging circumstances."
        
        The Orlando, Florida-based company filed for bankruptcy protection last month, with $818 million in debt and a plan to find a buyer within 30 days.
        
        But a faction of Tupperware's lenders opposed the company's sale plans, seeking instead to claim the assets for themselves.
        
        The new sale agreement will allow the lenders to purchase Tupperware's brand name and operations in multiple key markets, Tupperware attorney Spencer Winters said at the court hearing.
        
        Tupperware said it will initially focus on markets including the United States, Canada, Mexico, Brazil, China, Korea, India and Malaysia, and intends to follow on with European and additional Asian markets.