Chapter 11 Bankruptcy FAQS
We’d like to share with you an important update regarding Benson Hill’s future. On March 20, 2025, we voluntarily initiated a Chapter 11 restructuring process to strengthen our financial foundation while continuing to serve our valued partners like you.
We want to assure you that our commitment to you remains unchanged. The U.S. Bankruptcy Court has approved our initial motions, ensuring that we can maintain normal operations during this transitional period. With court authorization and secured debtor-in-possession (DIP) financing, we will continue to meet our contractual commitments and support key business partners without interruption.
Key approvals from the Court include:
- Access to up to $11 million in DIP financing, with an initial $3 million available immediately to support payroll, vendor payments, and operational expenses.
- Authorization to pay employee wages and benefits as usual.
- Permission to honor prepetition obligations to critical vendors,
shippers, and suppliers to maintain business continuity. - Legal authorization for DIP lenders to credit bid for assets, ensuring financial stability as we move forward.
These approvals give us the opportunity to maintain momentum while we take the necessary steps to restructure our financial foundation.
Key Facts:
Benson Hill remains operational and committed to partners, farmers, and customers.
On March 20, the company initiated a court-supervised Chapter 11 process to support a strategic transition of ownership. Day-to-day operations will continue, and Benson Hill remains focused on delivering high-quality seeds and service to its partners throughout this process.
This is a proactive step to preserve the value of our innovation platform and our proprietary soybean portfolio.
Despite meaningful transformation in recent years—including cost reductions, asset sales, and a shift to an asset-light licensing model—the Chapter 11 process provides the best path to unlock the full value of Benson Hill’s seed innovation and CropOS platform and secure its future under new ownership.
Debtor-in-Possession financing will help support business continuity.
Benson Hill has secured approximately $11 million in Debtor-in-Possession financing, pending court approval, in addition to existing cash reserves. These funds will provide the liquidity necessary to continue operations, support employees, and meet obligations to customers and vendors moving forward.
Benson Hill has filed customary first-day motions to support operations.
These motions include requests to continue paying team members, protect intellectual property, and support essential business partners. The company remains focused on maintaining strong relationships and minimizing disruption to our normal course of business. More on the case can be found here: https://cases.stretto.com/bensonhill/.
We’re incredibly proud of what we’ve built—and this process is about positioning Benson Hill for long-term success.
Benson Hill’s focus on optimizing soy quality traits and nutrient density has led to pioneering seed innovations that are market differentiators for us. The company is working to ensure that this next chapter enables its science and impact to continue meeting the demand for Better Feed, Better Food, and Better Fuel. We see it as a new beginning of sorts. For more about our work, please visit bensonhill.com.
General Questions:
What did Benson Hill announce on March 20?
On March 20, 2025, Benson Hill voluntarily filed Chapter 11 petitions in the U.S. Bankruptcy Court for the District of Delaware. This action initiated a court-supervised process that allows us to pursue a potential sale of all or a portion of our business under Section 363 of the U.S. Bankruptcy Code, while continuing to support our farmers, partners, and customers. To facilitate this process, the Company secured approximately $11 million in Debtor-in-Possession (DIP) financing, which—along with existing cash reserves—is expected to provide the necessary liquidity to support our day-to-day operations throughout the Chapter 11 proceedings, subject to court approval.
We also received approval on several customary “first-day” motions seeking court authorization to continue operations without disruption. These motions include approvals to pay wages and benefits to employees, maintain relationships with vendors and partners, and ensure ongoing service to our customers.
This decision follows significant efforts to transform our business—including cost reductions, asset
divestitures, debt retirement, and a strategic shift to an asset-light licensing model. Despite meaningful progress, persistent industry challenges and financial constraints led our Board of Directors to determine that the Chapter 11 process represents the best path forward.
What is Chapter 11?
Chapter 11 is a legal process that enables companies to reorganize their long-term liabilities while continuing day-to-day operations. This filing gives us the time and flexibility to restructure our capital without disrupting our business.
Is Benson Hill going out of business?
No. The Chapter 11 filing is a strategic step to address long-term liabilities and optimize our financial structure. We remain fully operational and committed to our customers, partners, and team members.
Why was the filing necessary?
Our decision to file was not due to operational shortcomings but to address long-term liability issues
unrelated to our current performance. The Chapter 11 process also creates opportunities to pursue
strategic alternatives, including the sales of other assets like intellectual property.
Who are the investors providing the financing?
Benson Hill has access to up to $11 million in debtor-in-possession (DIP) financing from existing lenders, including Expedition Ag Holdings, S2G Investments, Steve Kahn, and ProAgInvest, with an initial $3 million available immediately. These funds will support payroll, vendor payments, and other critical operating expenses.
Does Benson Hill have enough liquidity to stay in business?
We have adequate liquidity—supported by our operating cash flow, working capital and recently acquired DIP financing—to meet our obligations and continue daily operations as we work with creditor groups to restructure.
How long will it be before Benson Hill can emerge from Chapter 11?
We intend to move through the Chapter 11 process as quickly as possible. It is too early to say how long that process will take. We’ve proposed to the court a 75-day process, with a possible emergence date of June 6.
Do companies ever emerge from Chapter 11?
Yes. Many companies, including well-known companies such as Delta Airlines, General Motors, and Hostess, have successfully emerged from Chapter 11.
Will there be any change in the management of the company? Is the company in control of its operations during bankruptcy?
Benson Hill management will be running the day-to-day operations of the business, but roles may change based on the needs of the business. Dan Cosgrove has been named interim CEO, and Susan Keefe, Jason Bull and Deanie Elsner are no longer in executive roles.
What happens to existing debt obligations and financial claims against Benson Hill during the Chapter 11 process?
Through a legal mechanism known as the “automatic stay,” creditors are generally prevented from taking action against Benson Hill to collect on account of debts that arose prior to our Chapter 11 filing.
Will Benson Hill be delisted from Nasdaq?
Trading of the Company’s Common Stock on Nasdaq was suspended at the opening of business on March 27, 2025. Stock will now be available to trade on the Over-The-Counter market under the ticker BHILQ.
What will happen to shares of stock in Benson Hill ($BHIL)?
Shares of Benson Hill will continue to exist during the pendency of the bankruptcy cases.
Who are Benson Hill’s advisors?
Serving the company are Faegre Drinker Biddle & Reath LLP (legal counsel), Stretto (claims and noticing agent and administrative advisor), and Piper Sandler (investment banker). The case file is the best resource for you: https://cases.stretto.com/bensonhill.
How will the filing affect farmer/dealer relationships and service?
Our commitment to serving farmers, seed dealers, and partners remains strong. We continue to support our seed portfolio, maintain appropriate staffing, and ensure a reliable supply. You can expect the same high level of service, timely order fulfillment, and opportunities to diversify your operation with Benson Hill soybeans.
How will the Chapter 11 filing impact Benson Hill’s relationship with end users and partners?
We are taking proactive steps to strengthen our business for the future while remaining fully committed to our end users and partners. Our focus remains on delivering high-quality, non-commodity soybeans and expanding opportunities for growers through our partner programs.
Why should I continue doing business with Benson Hill? How are you ensuring service quality remains the same?
Benson Hill continues to offer exceptional soybean varieties that help growers meet the rising demand for healthy, high-protein, and sustainable ingredients. Through our partner programs, we connect growers with customers willing to pay a premium for soybeans with specific quality traits. We are maintaining operations, fulfilling commitments, and ensuring uninterrupted service so farmers and seed dealers can confidently plan for the 2025 growing season.
Will there be any changes to our services or contracts due to this filing?
No. All existing contracts and service agreements remain in place. We continue to operate as usual, delivering the quality and reliability our partners, dealers, and customers expect.
Will you maintain your current customer service teams?
Yes. Our dedicated customer support and field sales teams remain in place to provide expert guidance on seed selection, grain program opportunities, and order fulfillment.
How will customers be kept informed during this process? Where can we go if we have additional questions?
We value transparency and will provide updates as needed. If you have questions, reach out to your Benson Hill Field Sales Representative or customer support contact. (Call 314.594.7624 Option 1)
Will customer seed orders be delivered on time for 2025 planting?
Yes, we are committed to fulfilling orders on schedule. Seed orders with proper lead times are expected to be delivered as usual. The 2025 growing season offers fertile ground for soybean growers, with premium-price opportunities available through our partner programs listed at bensonhill.com. Fill out our seed order request form to secure your seed units for planting and explore ways to maximize value with our high-protein, non-GMO soybean varieties.
For more details about our restructuring and the Chapter 11 process, please visit https://cases.stretto.com/bensonhill or bensonhill.com. If you have further questions, contact your usual Benson Hill representative.
