Del Monte Pacific's U.S. Unit Files for Bankruptcy Under Philippine Tycoon Joselito Campos

Del Monte Pacific, controlled by Philippine tycoon Joselito Campos and his siblings, announced the deconsolidation of its U.S. subsidiary, Del Monte Foods Holdings Ltd., which has filed for bankruptcy. The company is evaluating the financial impact of this move and will provide updates in the future. Del Monte Pacific's net investment in DMFHL was $579 million as of Jan. 31, with additional net receivables of $169 million. Shares of Del Monte Pacific fell 8.2% in Singapore trading.

Del Monte Pacific lost control of DMFHL in June due to missed debt payments, leading to creditors appointing new directors and transferring 25% of equity to lenders. DMFHL's board entered a restructuring agreement with lenders, planning to sell assets through Chapter 11 proceedings in the U.S. The company will have access to $912.5 million in financing for ongoing operations.

Del Monte Pacific, known for canned pineapple and sauces, continues to perform well in Asia and internationally. The company's operations remain unaffected by the U.S. subsidiary's bankruptcy. The Campos family, owners of Del Monte Pacific, also inherited Unilab, a major pharmaceutical company in the Philippines.