The Chapter 11 bankruptcy filing is intended to help Celis Brewery, located at 10001 Metric Blvd., Austin, reorganize its finances, brewery founder Christine Celis said in the news release.
“The brewery has struggled to make financial ends meet under larger-than-expected debt service since day one," Celis said. "Even though our beer has been one of the fastest growing craft beers in Texas, the financial model we started with put us in a cash crunch that simply did not give us any room to maneuver in a highly competitive market. We intend to fix all of that through the Chapter 11 process.
Celis Brewery’s bankruptcy filing comes as the company staves off an initial foreclosure auction. A public sale notice published in the June 21 issue of the Austin American-Statesman stated that the Celis Brewery property would be auctioned off to satisfy a lien held by Amplify Credit Union.
The public notice additionally listed brewing equipment in the sale, but did not include any intellectual property. That auction was scheduled to occur July 2 but was canceled as a result of the bankruptcy filing.
In its news release, Celis Brewery said “key team members” will remain employed at the company after the bankruptcy filing, including Celis and her daughter, Daytona Camps.
“Nothing about our beers, our ingredients, our recipes, our methods or our distributor network is changing,” Celis said in the news release. “This reorganization is strictly a financial adjustment to allow us to grow in a more stable and profitable manner.”