Del Monte Foods Mulls Creditor Takeover Through Bankruptcy

Del Monte Foodshas been laying the groundwork for a potential Chapter 11 bankruptcy filing in a process that would see creditors take control of the canned-food company, according to people with knowledge of the matter.

Plans have not been finalized and could change, said the people, who asked not to be identified discussing private information.

A filing would cap off a tumultuous year for the borrower. Last month, the parent company, Del Monte Pacific Ltd., elected to forgo a payment of up to $45 million to the unit’s lenders as part of a lawsuit settlement tied to a ...