The brewhouse inside the Granite City Food & Brewery location in Detroit, Michigan

Bloomington, Minnesota-headquartered Granite City Food & Brewery announced it has filed for Chapter 11 bankruptcy to enter into auction and sale procedures.

Granite City Food & Brewery Files for Chapter 11, Seeks Structured Sale

Share This Article

Bloomington, Minnesota-headquartered Granite City Food & Brewery announced that it has filed for Chapter 11 bankruptcy, and the brewpub chain is seeking approval to enter auction and sale procedures in the U.S. Bankruptcy Court for the District of Minnesota.

Granite City owes its 20 largest creditors more than $4.2 million, according to court documents.

“The Granite City board of directors and management team have thoroughly assessed our strategic options and financial situation and unanimously agree that this structured sale process represents the best possible solution for the company,” board chairman and CEO Richard H. Lynch said in the release. “We believe pursuing this path will provide value to our creditors, enable one or more future restaurateurs to operate our locations and preserve hundreds of jobs.”

Granite City and KRG Granite Acquisition LLC have agreed to a sale of $7.5 million plus certain liabilities, according to a press release. The sale is subject to approval from the court and a subsequent auction process expected to end in February.

Granite City, which was founded in 1999, operates 25 locations, primarily located in the Midwest.

In 2018, Granite City ranked fifth in volume among national brewpub chains, despite sales declining 12%, to 13,493 barrels, across 32 locations, according to the Brewers Association.

At the close of trading Thursday, Granite City stock (GCFB) was valued at $0.10 on the OTC Market.

Leave a Reply

Your email address will not be published.

News

Latest Craft Beer News

Beer Lab HI Releases “Chai Yo” Belgian-style Blond Ale

The latest limited release from Beer Lab HI, the “Chai Yo, Thai Tea & Milk Sugar Ale”, a Belgian-style Blond Ale, is now available from the Honolulu-based brewery. Read More

Bell’s Brewery to Auction Two Hearted Ale Hockey Jerseys to Benefit Local Organizations

Bell’s Brewery, Inc. and Kalamazoo Wings have teamed up to support two local organizations with a special, limited edition Two Hearted hockey jersey auction. Read More

Upper Hand Brewery Expands Distribution to Michigan’s Mitten

Upper Hand Brewery will end its drought of availability below the Mackinac Bridge with the distribution of its beer to Michigan’s Lower Peninsula this Fall. Read More