A Century-Old Packaging Company Files for Pre-Packaged Chapter 11 Bankruptcy

Multi-Color Corporation has filed for pre-packaged Chapter 11 bankruptcy protection as part of a recapitalization effort aimed at reducing debt. 

Written By Deepali Singla
News Writer
Multi-Color Corporation (MCC) filed for Chapter 11 on January 29, 2026 (Source: Created on Canva)

Multi-Color Corporation (MCC), a global label solutions provider, filed for Chapter 11 bankruptcy. The company has entered a restructuring support agreement with its major secured lenders to sail through the proceedings.

Multi-Color Corporation Files for Pre-packaged Chapter 11

PACER records show that Multi-Color Corporation filed a voluntary Chapter 11 petition. The case was filed at the U.S. Bankruptcy Court for the District of New Jersey on January 29, 2026. The Chapter 11 process is expected to reduce its funded debt and strengthen its balance sheet.

According to the filing, MCC requested the court to expedite its first-day motions. It is also seeking permission to consolidate the process of disclosure statement approval and the plan confirmation.

The company aims to move through the bankruptcy process on an accelerated timeline while continuing normal operations.

MCC also sought permission to receive debtor-in-possession financing and cash collateral to fund operations in the case. These and other first-day relief were to be heard on January 30, 2026.

Several short-term deadlines have been established in the case. Objections to multiple pro hac vice applications are to be filed by February 6, 2026.

The company has a period until May 29, 2026, in which it may solely file a Chapter 11 plan. The court will next consider approval of the disclosure statement and confirmation of the proposed plan, following standard notice and hearing procedures.

Restructuring Support Agreement Between MCC and Lenders

Multi-Color Corporation entered into a restructuring support agreement with holders of about 72% of its secured first-lien debt. Along with its equity sponsor, Clayton, Dubilier and Rice (CD&R), the company is to enter into the terms of a complete financial restructuring.

The contract forms the basis of MCC Chapter 11 pre-packaged filing and is targeted at ensuring the company has significantly decreased its debt liabilities.

With the proposed restructuring, MCC is projected to lower net debt levels from approximately $5.9 billion to $2.0 billion. Annual cash interest expenses are expected to fall to about $140 million in 2026, down from roughly $475 million. The transactions would also increase the long-term debt maturities of the company to the year 2033.

The reorganization includes up to $889 million in new common and preferred equity to support future growth and investment. After Chapter 11 emergence, MCC expects to have more than $500 million in available liquidity.

Company management said the agreement reflects strong support from both lenders and its sponsor. It is expected to enhance the capital structure of MCC, reinforce its operational trend, and allow it to further invest in product development and customer-oriented solutions.

About the Company

Multi-Color Corporation (MCC) is a global label and packaging solution provider established in 1916. Founded in 1916, the company brings more than a century of operating history.

The company manufactures pressure-sensitive labels, shrink sleeves, in-mold labels, and other associated packaging materials. These are utilized by consumer brands in industries such as food and beverage, healthcare, wine and spirits, home and personal care, and specialty products.

MCC has a wide global manufacturing network in North America, Europe, Latin America, Asia, and Australia. This allows the company to cater to multinational and regional customers by providing localized production and standardized quality of products.

Beyond manufacturing, MCC provides label design, material selection, printing technologies, and product launch and redesign services.

Multi-Color Corporation has been supported by a private equity firm, CD&R, and is still committed to operational efficiency, innovation, and long-term customer relationships.

Current Case Status

Judge Michael B Kaplan is overseeing the case. Attorney Michael D. Sirota of Cole Schotz P.C. is legally representing MCC in court. Kirkland & Ellis LLP and Cole Schotz P.C. are the legal counsel, and Evercore is serving as the investment banker for the company.

The company has to pay more than 100,000 creditors. It has also reported funds for unsecured creditors. More details related to Chapter 11 proceedings so far are mentioned here:

  • Filing Date: January 29, 2026
  • Court and Jurisdiction: U.S. Bankruptcy Court for the District of New Jersey
  • Type of Filing: Active, Voluntary Petition
  • Chapter: 11
  • Case Number: 3:26-bk-10910
  • Estimated Assets: $1,000,000,001 to $10 billion
  • Estimated Liabilities: $1,000,000,001 to $10 billion
  • Reason for Filing: Reduce debt stress, recapitalize balance sheet, and focus on long-term growth

The case has been designated as a complex Chapter 11 proceeding. It includes numerous affiliated entities that are being jointly administered as part of the restructuring process. Multiple cases have been filed by MCC’s more than 50 affiliates, including MCC Christchurch Limited, MCC Ablis France SAS, and more.

The Chapter 11 filing by MCC is a reorganization of its financial structure, instead of undergoing liquidation. The primary aim is sustainability in the long term. The lender support would have the MCC coming out of bankruptcy with a better balance sheet and new growth potential.

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Deepali Singla is a food technologist by discipline and a seasoned, versatile writer by profession. Her passion for writing emerged during her academic journey. With a strong foundation in research, she excels at crafting well-researched content. Combining technical knowledge with a flair for storytelling, Deepali brings depth and clarity to her work.
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