Design Group Americas Files for Chapter 11 Protection to Facilitate Business Sale
July 4th, 2025 4:22 AM
By: Newsworthy Staff
IG Design Group Americas, Inc. has voluntarily filed for chapter 11 bankruptcy to pursue a sale of its business segments, impacted by operational challenges and the loss of a major customer.
IG Design Group Americas, Inc. and its domestic subsidiaries have announced a voluntary chapter 11 filing in the United States Bankruptcy Court for the Southern District of Texas. This move aims to facilitate a court-supervised marketing and sale process under section 363 of the Bankruptcy Code. The company plans to engage with potential buyers for certain business segments while winding down its domestically manufactured woven ribbon products business.
The decision comes after years of navigating a tough operating environment, exacerbated by the liquidation of a major customer and new trade tariffs in 2025 that increased costs and reduced orders. Sue Buchta, CEO of DGA, stated the company is in dialogue with interested parties to maximize asset value through the chapter 11 process. DGA has secured approximately $53 million in debtor-in-possession financing from an affiliate of Hilco Capital Group, pending court approval, to support its strategy.
Additional information about the court-supervised process is available at https://cases.ra.kroll.com/DGA. The company's non-U.S. affiliates are not included in the chapter 11 filings and will continue operations as usual.
Source Statement
This news article relied primarily on a press release disributed by citybiz. You can read the source press release here,
