Chase General Corporation disclosed on August 31, 2026, that its subsidiary, Dye Candy Company, entered into an Agreement for Deed in Lieu of Foreclosure with its lender, G.W. Chase Candy Company LLC. The transaction was consummated on the same date and serves as an alternative to the lender exercising its foreclosure remedies.
Under the terms of the agreement, Dye Candy Company voluntarily transferred substantially all of its business assets to the Lender. The transfer included assets that constituted substantially all of Chase General Corporation’s business assets, excluding cash and certain other excluded items. In exchange for the assets, the Lender released Dye Candy Company from all outstanding payment obligations under its loan documents.
The principal amount of the indebtedness discharged as a result of the transaction totaled approximately $500,000, plus accrued interest, as of the closing date. Following the closing, the Company and Dye Candy Company retain no residual interest or rights in the transferred assets. The entities will cease to have any ongoing business operations, other than activities associated with winding up their affairs.
The filing includes the Agreement for Deed in Lieu of Foreclosure, Bill of Sale, and Warranty Deed dated August 31, 2026, as Exhibit 10.1.
