Shepherding a distressed grocery chain through a restructuring and sale process​

Picture this...

You’re a 14-store grocery chain serving New York, New Jersey, and Connecticut, with $700M in revenue and $250M of secured debt, facing liquidity issues brought on by underperforming locations and growing pension liabilities. You need help.​

You turn to Accordion.

We come on board to serve as CRO and financial advisors to prepare for a Chapter 11 process and execute a sale of some (or all) of your locations. Specifically, we:​

• Work on the frontlines with executive leadership to manage the supply chain.​
• Advise on the sales process, which includes a virtual auction for eight stores and the distribution center, to three different buyers. ​
• Reduce SG&A costs and close three unprofitable locations.​
• Undertake a secondary sale process for the three additional stores. ​
• Assist in the negotiation and global settlement between multiple lenders, the Grocery Workers Union, and the unsecured creditors —resulting in the confirmation of a Chapter 11 Plan of Reorganization.

Your value is enhanced.

Despite numerous obstacles and an unexpected ransomware attack, you complete a Chapter 11 filing, the confirmation of a consensual Plan of Reorganization, and a successful sale of 11 grocery locations and the distribution center. On top of all that, you’re able to preserve more than 1,700 jobs in the process.