Zelenka Farms’ Chapter 11 case converted to Chapter 7 following sale

By Caroline Salls

Pittsburgh, Jan. 23 – Zelenka Farms’ Chapter 11 bankruptcy case was converted to Chapter 7 Friday by the U.S. Bankruptcy Court for the Northern District of Texas.

As previously reported, Zelenka sold substantially all of its assets for $15 million to LM Farms, LLC under an order entered by the court in August.

Other than some cash, receivables and causes of action, the company said there are no significant assets remaining to be liquidated.

“The debtors have determined that the most efficient, economical and equitable course of action is to convert these cases to Chapter 7 of the Bankruptcy Code,” the motion said.

Zelenka Farms is an Irving, Texas-based wholesale plant grower and distributor. The company filed bankruptcy on June 17, 2016 under Chapter 11 case number 16-32435.

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