Filing Alert: Staffing 360 Solutions Chapter 11

Staffing 360 Solutions, Inc. ("Staffing 360") and its debtor affiliates⁽¹⁾, a New York, NY-based staffing consolidator focused on acquiring and integrating mature U.S.–based staffing firms across accounting & finance, IT, engineering, administration and light-industrial verticals, filed for Chapter 11 protection on May 5 in the U.S. Bankruptcy Court for the Eastern District of North Carolina.

According to public disclosures, the filing follows a series of challenges for the company, including the termination of a planned merger with Atlantic International Corp. on Feb. 26, 2025, which cited alleged material breaches by Staffing 360. That same month, the company received a delisting determination from the Nasdaq Stock Market after failing to regain compliance with the minimum stockholders’ equity requirement. In parallel, Staffing 360 entered into Amendment No. 39 to its credit agreement with MidCap Funding IV Trust, extending the maturity of the facility and reflecting ongoing efforts to manage liquidity and covenant pressure.

The company reports $57.1 million in assets and $78 million in liabilities. The filing indicates that there will be funds available for distribution to unsecured creditors. The case number is 25-01684.

⁽¹⁾ For a complete list of debtor entities, see the Chapter 11 Debtors table.

Chapter 11 Debtors

Top Unsecured Claims

Key Parties

Counsel:

• Rebecca Redwine Grow
• Hendren, Redwine & Malone, PLLC
• Email: rredwine@hendrenmalone.com

Signatories:

• Brendan Flood – CEO

Bondoro Insights is continuing to monitor this case and will provide further coverage as appropriate.

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