Portsmouth, Rhode Island-based Kadey-Krogen Yachts, LLC, a manufacturer of long-distance cruising yachts, has filed for Chapter 7 bankruptcy. Two affiliated companies also filed separate Chapter 7 petitions.
Kadey-Krogen Yachts is a Rhode Island-based manufacturer of bluewater trawler yachts designed for long-range cruising and liveaboard use. Founded in 1976, the company has built nearly 700 yachts and is recognized within the passagemaking community for its ocean-capable, fuel-efficient cruising vessels.
Kadey-Krogen Yachts, LLC Enters Chapter 7 Bankruptcy
Case records on PACER show that the company filed a voluntary Chapter 7 petition on July 6, 2026. The company has been designing and manufacturing yachts for almost five decades.
Chapter 7 bankruptcy generally involves the liquidation of a company’s assets under court supervision. As of the petition date, the case records do not clearly state the circumstances that led to the bankruptcy.
Two Affiliates Filed Separately
Court records show that two affiliated companies also filed for Chapter 7 bankruptcy. The first one is its parent company, KKY Holdings, LLC, whose filing details are available under case number ‘26-11064-BLS.’
The second is American Tugs, LLC, which filed under case number ‘26-11066-BLS.’ In a May 31, 2023, announcement, American Tugs said it had been acquired by Kadey-Krogen Yachts. The LaConner, Washington-based company has been developing U.S. built coastal cruisers for around 27 years.
The separate filings indicate that the bankruptcy extends across the company’s corporate group.
Case records show that the three companies authorized their filings through a joint omnibus written consent dated July 2, 2026. According to the document, the governing bodies evaluated the financial position of the companies and consulted legal and other advisors. It was then determined that voluntary Chapter 7 filings were in the best interests of the companies, their creditors, and stakeholders.
On behalf of all three companies, the document also authorized Jock Tucker West to execute the petitions and other court filings. In addition, the three companies retained Pashman Stein Walder Hayden, P.C. as bankruptcy counsel throughout the proceedings.
About the Company
According to its website, Kadey-Krogen Yachts specializes in bluewater trawler yachts designed for offshore passages, coastal cruising, and extended liveaboard use.
The company is best known for its Pure Full Displacement hull design, which prioritizes fuel efficiency, stability, and comfort during long-distance voyages. Its current lineup includes models ranging from 44 to 60 feet, and it also offers brokerage services for pre-owned Kadey-Krogen yachts and other passagemaking vessels.
Highlights from the Petition
Court records show that Kadey-Krogen Yachts, LLC listed a statement of financial affairs in its petition. This filing shows the changes its gross revenue faced for the past two years. The value was estimated at around $14.9 million in 2024. According to the filing, gross revenue fell to approximately $10.1 million in 2025.
This year, the company’s gross revenue is expected to be $403,962 (as of the filing date).
A summary of the Chapter 7 petition is shared here:
- Filing Date: July 6, 2026
- Court and Jurisdiction: U.S. Bankruptcy Court for the District of Delaware
- Type of Filing: Active, Voluntary Petition
- Chapter: 7
- Case Number: 26-11065-BLS
- Estimated Assets: Between $1,000,001 and $10 million
- Estimated Liabilities: Between $1,000,001 and $10 million
- Estimated Creditors: Between 50 and 99
The Chapter 7 filings begin the court-supervised liquidation process for Kadey-Krogen Yachts and its affiliated companies. Future court filings are expected to provide additional information about the administration of the bankruptcy cases and the companies’ remaining assets and liabilities.
