Mid America Brick used funding from several venture capital firms and other investors to buy, revamp and operate the former A.P. Green brick factory. Mid America Brick was founded in 2010 and began producing brick in summer 2011.
Mid America Brick & Structural Clay Products LLC filed for chapter 11 bankruptcy February 15 in U.S. Bankruptcy Court for the Eastern District of Missouri.
Company officials said the stagnant housing market and over-capacity in the brick industry prevented it from meeting sales and profitability projections.
Mid America Brick plans to reorganize, and has obtained debtor-in-possession financing from a group led by an affiliate of Advantage Capital Partners, a St. Louis venture capital and financing firm, according to a company statement. The brickmaking company is seeking a partner for an asset purchase transaction or a recapitalization of the company.
Mid America Brick's production facility was dormant in December and January. It is in the process of resuming production and plans to return to full employment levels by the end of February, officials said.