by Classic Recreations Has Declared Bankruptcy
Classic Recreations, known for its premium Ford Mustang restomods, has filed for Chapter 11 bankruptcy in Texas. According to court documents, the company has assets worth between $500,001 and $1 million, but its liabilities range from $1,000,001 to $10 million.
The Company’s Future Is in Question
Classic Recreations was the official builder of Shelby cars for many years, but now its license has been revoked. Chapter 11 bankruptcy will allow the company to restructure its finances, but it is unclear whether it will continue to operate during this process.
According to sources, the company has fewer than 50 creditors and plans to start payments after covering necessary expenses.
The market for expensive restomods has been growing rapidly in recent years, and Classic Recreations was one of the leaders in this niche. Now its fate depends on the success of the restructuring, led by crisis management specialist Pete Vanderwijn.
Despite financial difficulties, the company remains well-known for its unique projects, which often cost clients over $300,000. The question now is whether it can emerge from the crisis and continue operating in the high-end car market.
