Gallant Brands Inc. (GBI) has acquired the assets of Soupman Inc. from bankruptcy, eliminating more than $11 million in debt and trade liabilities. Soupman Inc., owner of The Original Soupman brand, now has a clean balance sheet and a new management team, according to the Sept. 28 announcement.
GBI was founded for the specific purpose of purchasing Soupman. The Soupman brand, created in 1984 by Al Yegenah and made famous by the television show “Seinfeld” in 1995, filed for Chapter 11 bankruptcy protection on June 13, 2017, as a result of overbearing legacy liabilities and corporate governance issues, according to GBI.
“We are selling great soup, and we’re going to sell a lot more,” said Joseph Hagan, president of GBI when asked if the business would continue operations. “A new regime is poised to finally capitalize on this brand’s colossal value.”
Hagan added, “I am proud of the collective efforts of our team. We have all worked diligently to avoid interruption in operations and to identify those business opportunities that move our business forward. We are especially pleased to have the support of our long-term shareholders, vendors, suppliers, franchisees and our customers. Their patience and commitment through this transitional period for Soupman has been pivotal in our re-emergence. We look forward to keeping the public informed of our streamlined business model, new customers and exciting new opportunities.”
Eatontown, New Jersey-based GBI says it has engaged a team of financial and food industry veterans with more than 100 years’ experience collectively as its management team. With an emphasis on strong cash flow, the Gallant team will implement simple operational changes capable of saving the business more than $1.2 million per year in spending while aggressively pursuing new business opportunities. Gallant officials said they are committed to communication, transparency and accountability with Soupman’s constituents.