The two US entities of vodka maker Stoli Group have filed motions to convert their bankruptcies into Chapter 7 liquidations.
Stoli Group USA and its Kentucky Owl American whiskey unit voluntarily filed for Chapter 11 bankruptcy in November 2024 after suffering “financial difficulties” and a two-month-long cyber attack.
The two US entities have now requested to change their Chapter 11 to a Chapter 7 bankruptcy, which would enable the company to get rid of most of its debts without repayment.
Despite ongoing negotiations and the preparation of a proposed reorganisation plan, the entities were unable to secure terms with senior lenders that would…