Sangamo Therapeutics files for Chapter 11 bankruptcy protection

BY Richard Summefield

On Tuesday, Sangamo Therapeutics, Inc., a genomic medicine company, announced it had filed for Chapter 11 bankruptcy protection in the US Bankruptcy Court for the District of Delaware to facilitate a court-supervised reorganisation, which is expected to include the auction of substantially all of the company’s assets.

Simultaneously, the company also announced it had entered into two separate asset sale agreements, one with Eli Lilly for Sangamo’s capsid delivery platform, zinc finger platform, modular integrase (MINT) platform and the prion disease programme, ST-506, and another with Astellas Pharma Inc., for the company’s Fabry disease programme, isaralgagene civaparvovec (ST-920).

To underpin the sale process, Lilly and Astellas will each serve as stalking horse bidders for the sale of the assets contemplated by their respective agreements. A stalking horse asset sale agreement establishes a strong baseline offer and is intended to help maximise value for all stakeholders through the Chapter 11 auction process.

Although during the Chapter 11 proceedings the company said “substantially all” of its assets will be up for sale, the stalking horse bids do not include the clinical-stage ST-503 programme to treat chronic neuropathic pain, the giroctocogene fitelparvovec programme to treat hemophilia A, and Sangamo’s cell therapy and regulatory T cell (Treg) assets. Sangamo said these are expected to remain available to interested bidders at the auction.

To maintain operations during the restructuring, Sangamo has secured a commitment for debtor in possession financing from Northridge ATM and its affiliates. The company said the financing, which is subject to court approval, is expected to provide sufficient liquidity to fund operations, support the Chapter 11 process and meet post-petition obligations. Sangamo has filed motions with the US Bankruptcy Court for the District of Delaware seeking authorisation to continue normal business operations during the proceedings.

“Following a comprehensive review of available alternatives, we believe this process provides a clear framework to pursue value‑maximizing transactions,” said Sandy Macrae, chief executive of Sangamo. “Our priority is to execute a disciplined and efficient sale process while supporting all of our stakeholders. We are also pleased to have signed agreements with two large pharmaceutical companies to serve as stalking horse bidders in the process, underscoring the strategic interest in our assets.”

Sangamo reported a $31m net loss on revenue that fell 78 percent year over year to $1.4m from $6.4m. Sangamo said $5m of that decrease was due to Pfizer’s termination early last year of its collaboration with Sangamo to develop a hemophilia A gene therapy, giroctocogene fitelparvovec. The company is also laying off approximately 51 staffers, or around 40 percent of its total workforce, according to a filing with the Securities and Exchange Commission.

News: Sangamo Therapeutics Enters Into Asset Sale Agreements with Lilly and Astellas

Texas insurer Hallmark files for Chapter 11

BY Fraser Tennant

Citing parent company legacy challenges, insurance firm Hallmark Financial Services has filed for Chapter 11 bankruptcy protection to effectuate a restructuring support agreement (RSA).

The RSA contemplates a restructuring transaction with Hildene Capital Management and certain of its affiliates, whose clients collectively comprise the majority holder of Hallmark’s debt obligations.

Hallmark has also filed customary ‘first-day’ motions that will allow it to maintain business operations and uphold its commitments to employees, agents, policyholders and vendors, including continued payment of employee wages and benefits.

The company has sufficient cash on hand and does not require debtor-in-possession financing.

“Over the past two years, we have taken meaningful actions to address legacy challenges at our parent company, including exiting underperforming businesses and improving liquidity,” said Chris Kenney, president and chief executive of Hallmark. “With the support of our lenders, this transaction is the right next step to strengthen our balance sheet, enhance financial flexibility and position Hallmark for long-term success.”

Hallmark’s insurance company subsidiaries are not part of the proceeding and will continue to operate in the ordinary course during the restructuring process.

“Importantly, our insurance company subsidiaries continue to perform well and are not part of this process,” continued Mr Kenney. “We remain fully committed to servicing and partnering with policyholders, agents and vendors without interruption, and we expect normal business operations to continue.”

Founded in 1987 and headquartered in Dallas, Texas, Hallmark is a diversified property and casualty insurance company offering commercial and personal insurance solutions to businesses and individuals in specialty and niche markets. The company is licensed and eligible to write admitted and non-admitted business in 47 and 44 states, respectively. 

Hallmark expects to emerge from the Chapter 11 process in less than 90 days, subject to regulatory approval.

Mr Kenney concluded: “We appreciate Hildene’s support and confidence in our business and believe this transaction positions Hallmark for a stronger future.”

News: Texas Insurer Hits Ch. 11 With $134M Debt, Prepackaged Plan

Saks Global gains approval for Chapter 11 exit plan

BY Fraser Tennant

At the final stage of its restructuring process, luxury retail company Saks Global has received bankruptcy court approval of its Chapter 11 exit plan – confirmation which paves the way for its emergence with a strengthened financial foundation.

The luxury retailer, which owns Saks Fifth Avenue and Neiman Marcus, filed for Chapter 11 bankruptcy protection in mid-January 2026, having struggled with the heavy debt burden incurred from its $2.7bn acquisition of Neiman Marcus in late 2024, alongside a general slowdown in luxury spending

The restructuring plan – approved by the US Bankruptcy Court for the Southern District of Texas – gained support across the capital structure from participating creditors, the overwhelming majority of which voted in favour.

The plan is expected to significantly reduce the company’s funded debt from $3.4bn to about $1.2bn, wiping out existing equity and handing control to senior lenders, who have provided $1bn in new funding through the bankruptcy and pledged an additional $500m ​after the company ​exits Chapter 11.

“With significantly reduced debt on the company’s balance sheet at emergence and having already achieved substantial cost savings through the optimisation of our footprint, operations and organisation, our business is well positioned for future success,” said Brandy Richardson, chief financial officer at Saks Global. “We look forward to driving profitable growth as a stronger Saks Global, leveraging our distinct and differentiated assets.”

The plan also establishes the foundation for the company to accelerate sales growth, with a focus on strong full-price selling, and to generate $9bn in total gross merchandise value and double-digit adjusted earnings before interest, taxes, depreciation and amortisation by 2030.

Upon completion of the restructuring process, the company will emerge with 49 luxury retail locations, including 33 Neiman Marcus stores, 15 Saks Fifth Avenue ​stores, and Bergdorf Goodman. Saks Global entered bankruptcy with 33 Saks Fifth Avenue ​locations.

Geoffroy van Raemdonck, chief executive of Saks Global, said: “With our capital partners’ commitment and the dedication of our talented team, we are on track to emerge as a stronger, more focused company, poised for profitable and sustainable growth.”

News: Saks Global wins court approval for bankruptcy restructuring

Crypto collapse: Bitcoin Depot files for Chapter 11

BY Fraser Tennant

Bitcoin Depot, the largest bitcoin automated teller machine (BTMs) operator in North America, has filed for voluntary Chapter 11 bankruptcy and shut down its entire network of over 9000 machines.

With the company having exhausted other alternatives before seeking bankruptcy protection, the court will oversee proceedings, which include Bitcoin Depot’s Canadian entities. Separate restructuring proceedings are expected to commence in Canada.

Founded in 2016 with the mission to connect those who prefer to use cash to the broader, digital financial system, Bitcoin Depot provides its users with simple, efficient and intuitive means of converting cash into Bitcoin, which users can deploy in the payments, spending and investing space.

However, under severe financial pressure for months prior to the bankruptcy filing, the company reported a 49.2 percent revenue decline year over year for the first quarter of 2026, as well as posting a $9.5m net loss compared with $12.2m in net income a year earlier.

“Over time, the company has strengthened its protocols and procedures to combat fraud and protect customers who use its BTMs,” said Alex Holmes, chief executive of Bitcoin Depot. “This includes enhanced identity verification, customer fraud warnings and the recent adoption of lower transaction limits for customers.

“Nevertheless, the regulatory environment for BTM operators has shifted significantly,” he continued. “States have imposed increasingly stringent compliance obligations, including new transaction limits, and in some jurisdictions, outright restrictions or bans on BTM operations. Operators have also faced increasing litigation and regulatory enforcement.”

As a result, the company’s stock has plummeted 79.48 percent over the past six months. In another setback, hackers breached the company’s IT systems and stole $3.7m from its crypto wallets.

As a result of these developments, Bitcoin Depot’s business and financial position was materially affected, leaving the company’s current business model unsustainable.  

“After evaluating all options, we determined to initiate this court-supervised process to facilitate an orderly wind-down of operations and a sale of the company’s assets,” said Mr Holmes. “We are grateful to our customers, suppliers and business partners for their support. I also want to thank our employees across the globe for their continued hard work and dedication.”

News: Bitcoin Depot Initiates Voluntary Chapter 11 Process To Facilitate An Orderly Wind-Down And Sale Of The Company's Assets

QVC files for Chapter 11 to implement RSA

BY Fraser Tennant

Citing major financial headwinds, US media conglomerate QVC Group – the parent company behind well-known shopping channels QVC and HSN – has filed for Chapter 11 bankruptcy protection.

The filing will allow QVC to implement a restructuring support agreement (RSA) with holders representing a significant majority of the company’s outstanding funded debt. No layoffs or furloughs are planned in connection with the financial restructuring process.

Aiming to cut its debt from $6.6bn to $1.3bn and exit bankruptcy within 90 days, the RSA outlines the terms of a comprehensive prepackaged financial restructuring plan that will substantially reduce the company’s debt and strengthen its financial position.

As of 31 December 2025, QVC had over $1bn in domestic cash and cash equivalents. Together with cash generated from ongoing operations, the company has ample liquidity to meet its business obligations during the court-supervised process. Under the terms of the RSA, all third-party general unsecured creditors will have their claims paid in full or reinstated.

Not included in the court-supervised process are QVC’s subsidiaries and entities outside of the US. The only exception is a non-operating subsidiary in Luxembourg that has no team members, customers, vendors or business partners.

The company’s global business operations are continuing as normal, including customer-facing operations in the UK, Germany, Japan and Italy, and paying vendors and suppliers as usual across all of these geographies.

“We have consolidated our HSN and QVC operations, struck new deals with critical social and media partners, and rebalanced sourcing to account for the changing tariff environment,” said David Rawlinson, president and chief executive of QVC Group. “We are uniquely positioned to compete and win in live social shopping, and are seeing early momentum in our WIN Growth Strategy.”

Launched in 2024, the WIN Growth Strategy aims to drive long-term growth and profitability by repositioning QVC as a cross-platform live shopping ecosystem, spanning social media, streaming services, e-commerce sites and traditional TV broadcast channels.

“We appreciate the ongoing support of our valued vendors and business partners, and we are grateful to our team members for their unwavering dedication to QVC Group and our customers,” concluded Mr Rawlinson. “The Chapter 11 process will allow for QVC Group to have the financial structure it needs to accelerate our return to growth.”

News: TV shopping empire behind QVC, HSN files for bankruptcy amid mounting losses