Borden Dairy Co. filed for bankruptcy protection, the second major U.S. dairy to do so in as many months. Borden’s former controlling and majority equity holders, ACON Investments and Grupo Lala, respectively, will no longer have ownership interest in the business. Borden will again weather the challenges of a crisis thanks, in large part, to a $147 million USDA contract to supply nonprofits with fluid milk for COVID-19 relief. “KKR ultimately joined with Capitol Peak Partners in the past month to come up with a plan and was very productive in the final sales process,” he said. Our HOT Creamy Salsa will be sure to test you! #CreamySalsa #ElsieApproved, Happy Election Day! Before the sale, Sarsam emphasized that filing for bankruptcy was essential for the business because its debt load was inappropriate for the size of the 163-year-old company. Thank you to all the brave Veterans and their families who have served our nation #VeteransDay #ElsieApproved, Can YOU handle the spice? In its infancy during the Civil War, Borden Dairy was awarded a government contract to supply the Union Army with canned milk, which positioned the company for long-term success. Engles replaces Borden CEO Tony Sarsam, who said he plans to leave in three weeks. The other buyer, private equity giant KKR & Co., bought Borden in 1995 for $2 billion and later sold off divisions and brands to various buyers, but remained a lender for Borden’s $175 million term loan, according to court records. America’s Black Belt, home to some of America’s poorest communities, is facing complicated challenges during the coronavirus pandemic. Privacy Policy | California Transparency Act, Borden Bottles Up the State Fair of Texas’ Wacky Food Lineup with Fun Flavored Milks, Borden Dairy Completes Sale to Capitol Peak Partners and KKR, Borden Dairy Awarded USDA Contract to Provide 700 Million Servings of Nutritious Dairy Products for Families in Need, Borden Dairy Spicing up the Holidays with New Gingerbread Eggnog, Borden Dairy Partners with Dallas Mavericks, Brings Milk to American Airlines Center. Sarsam said the nearly six-month bankruptcy process has put it in a better cash position and way ahead of its profitability forecast. Sarsam said he’s known for the past few weeks that the winning bidder would bring in its own management team. The Salvation Army of Coastal Alabama gave away 4,320 gallons of milk donated by Borden Dairy to support families impacted by COVID-19. Dallas-based Borden Dairy will emerge from bankruptcy as a solvent company under the guidance of its chief rival’s former CEO. Borden Dairy filed for Chapter 11 bankruptcy in January, citing the market challenges facing the dairy industry and the rising cost of raw milk. By Natalie Walters, The Dallas Morning News, Borden Dairy to exit bankruptcy with rival company’s former CEO as its new leader, © Vernon Bryant/Staff Photographer/The Dallas Morning News/TNS. Elsie says don’t forget to vote! ✔️ #ElsieApproved #ElectionDay2020, Borden recognizes a month full of education, support, and hope. Dallas-based Borden Dairy, which filed for bankruptcy protection in January, has been scooped up by private equity giant KKR & Co. and an investment firm led by the former CEO of Borden… Show full articles without "Continue Reading" button for {0} hours. Microsoft may earn an Affiliate Commission if you purchase something through recommended links in this article. Its bankruptcy filing showed its assets and liabilities were each between $100 million and $500 million. “The outcome was as good if not better than expectations,” he said. Visit The Dallas Morning News at www.dallasnews.com. Dallas-based Borden Dairy will emerge from bankruptcy as a solvent company under the guidance of its chief rival’s former CEO. Visit https://t.co/D0hphj0mCa for a special offer on new Borden Creamy Salsa! ✔️ #ElsieApproved #ElectionDay2020, Borden recognizes a month full of education, support, and hope. #ElsieApproved #HappyHalloween, Copyright © 2020 Borden Dairy Company. Sarsam, who joined Borden after successful runs at PepsiCo’s Frito-Lay division and Nestle, said he hasn’t had time to plan his next venture. Capitol Peak Partners and its affiliates are acquiring substantially all of Borden’s assets as part of the deal, court documents show. Sarsam said he and Engles were once on the same board together at Grocery Manufacturers Association, now Consumer Brands Association, and the new management team has a lot of knowledge on the dairy industry. Our HOT Creamy Salsa will be sure to test you! #ElsieApproved #HappyHalloween, Copyright © 2020 Borden Dairy Company.