Jakarta, Indonesia Sentinel — Tupperware, the iconic food container manufacturer, has shared promising news for its loyal customers following its recent bankruptcy filing. A U.S. bankruptcy judge has approved a deal that offers a lifeline to the Massachusetts-based company, providing it with a chance to revive operations.
As part of the agreement, Tupperware will sell its brand name and key assets to a consortium of lenders for $23.5 million in cash (approximately IDR 369 billion) and $63 million (IDR 991 billion) in debt relief. During a hearing at the U.S. Bankruptcy Court, Spencer Winters, an attorney representing Tupperware, described the deal as an “extraordinary outcome.”
“This is a situation that needed a comprehensive global resolution,” Winters stated, as quoted by the Daily Mail on Friday, November 1, 2024. He added that this was ‘a very good result’, as the agreement would help preserve Tupperware’s business, customer relationships, and jobs.
Under the terms of the sale, Tupperware will transition to a privately held company, owned by a group of supportive lenders, including hedge fund managers Stonehill Capital Management and Alden Global Capital. The agreement also stipulates the company’s removal from public stock exchanges.
Founded in 1946 by chemist Earl Tupper, Tupperware became a household name thanks to its innovative airtight plastic containers, which helped families preserve food for longer during the challenging years following World War II and the Great Depression. The brand reached peak popularity in the mid-20th century with its famous “Tupperware parties,” a direct sales model that allowed many women to earn additional income by selling products to friends and neighbors.
Tupperware Files for Bankruptcy after Years of Struggles, Is It The End?
Over the decades, Tupperware expanded its range to include various kitchen products. However, increased competition from newer players like Rubbermaid and OXO, combined with consumer trends favoring glass containers, gradually eroded its dominance. The 78-year-old company has struggled for years to reclaim its position in the market.
Although the COVID-19 pandemic briefly boosted Tupperware’s sales as more people cooked at home, it was insufficient to offset the brand’s financial troubles. With over $1.2 billion in debt, Tupperware filed for bankruptcy protection in September 2024.
The court-approved sale now offers Tupperware a chance at a fresh start, free from its debt burdens, as it seeks to rebuild and adapt to a competitive market under new ownership.
(Raidi/Agung)
