NJOY Bankruptcy Converted To Ch. 7

By Cara Salvatore (July 20, 2017, 4:45 PM EDT) -- A Delaware bankruptcy judge agreed Wednesday to convert the Chapter 11 bankruptcy of e-cigarette maker NJOY Inc. to a Chapter 7, following a $30 million asset sale and the departure of its last remaining executive.

NJOY filed for Chapter 11 protection in September, citing a lack of demand for a second-generation King e-cigarette that launched at the end of 2013. The company ultimately pulled the product the following year, and NJOY embarked on a costly brand relaunch.

The company must now "turn over to the Chapter 7 trustee all records and property of the estate" and "file a schedule of unpaid debts...

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