FTD Files for Bankruptcy Protection
In late March, Greenhouse Grower reported that flower delivery service FTD could be forced to shrink operations to pay off some of its debt. This week, according to an article in the Chicago Tribune, the company has moved forward in that process, filing for bankruptcy protection Monday with an agreement to sell some businesses while paying down debt and pursuing sales of its other brands.
According to the Tribune article, Nexus Capital, a California-based private equity firm, has agreed to buy FTD’s North American and Latin American consumer and florist businesses, including ProFlowers, for $95 million, FTD said. It has also signed letters of intent with potential buyers for its Personal Creations and Shari’s Berries businesses. Any sales will still require the bankruptcy court’s approval.
In the meantime, FTD says its businesses are continuing to operate as usual, taking new orders and filling those already placed.
FTD’s Interflora business, which is based in Europe and is not part of the Chapter 11 filing, has been sold to a subsidiary of The Wonderful Co. for $59.5 million, the company said.
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