Danimer files for bankruptcy

In Georgia, Danimer Scientific has filed for Chapter 11 bankruptcy after facing falling sales and the high costs associated with scaling up production of its polyhydroxyalkanoate bioplastics.

In its filing with the United States Bankruptcy Court for the District of Delaware, Danimer said it was initiating an “orderly and value-maximizing wind-down” of its operations. The company intends to use the Chapter 11 period to market and potentially sell all or most of its assets.

During a third quarter earnings call late last year, CFO Mike Hajost highlighted liquidity as a key focus. He said the company was cutting discretionary spending, reducing headcount, and suspending operations at its Danimer Catalytic Technologies division.