Just because a company declares bankruptcy does not mean its brands aren't popular. A lot of times, a company runs out of money for reasons that have little to do with its products.
Maybe it overextended itself by building too many factories, or perhaps it made other financial mistakes. Sometimes, successful companies take on debt as a way to cash out shareholders or otherwise free up capital.
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When Hostess went bankrupt a few years ago, people still loved its signature Twinkie, Cupcake, and Fruit Pie. Demand for those products remained high, but the overall company faced larger struggles.
The same thing happened when New England Candy Company went bankrupt. That brand manufactured the controversial (as in some people love them and some people hate them) NECCO wafers, along with several other popular candy brands.
In the case of a bankruptcy, whether those brands come back depends on what happens to the company's assets. Sometimes, whoever ends up owning the brands has no immediate plans to bring them back.
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They might sell them at a later date to a company that actually wants to manufacture the product, or that item might just be lost to history.
Fans of a beloved taco brand were very worried that the bankruptcy and collapse of its parent company would mean the end of their favorite taco shells. New reports suggest that will not be the case.
Image source: Shutterstock
Beloved taco brand caught up in bankruptcy
“Gladstone Food Products Company Inc., best known for their taco shell brand La Tiara, was put into receivership on March 18, 2025. The company, inclusive of property, equipment, brands and trademarks, is in the process of being sold through a closed auction process,” according to a press release.
La Tiara Taco Shells started disappearing from shelves in March.
“Well this just ruined my day. The best taco shells ever that we have eaten for the last 15 years almost every Tuesday is permanently closed. We had new taco shells tonight and I asked why we didn't have La Tiara taco shells, and April Mueller said I can't find them in the store, so the problem solver in me said no biggie, I'll order some online, which led me down the rabbit hole to finding out they closed. This is unacceptable,” shared Scott Mueller on Facebook.
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Many others expressed their dismay that Gladstone had filed for Chapter 11 bankruptcy protection, which ended production for La Tiara.
“I can't find the La Tiera taco shells. I love them. So many other taco shells are tough, not crispy at all,” Mona Lightfoot wrote.
Now, fans of the brand have received some good news.
La Tiara finds a buyer
Once Gladstone was put into receivership, Eric Moraczewski was appointed by the bankruptcy court to oversee the sale of the brand's assets.
“Since the appointment, the opportunity has attracted significant nationwide interest from potential buyers,” according to a press release.
La Tiara, both its brand and its recipe, were part of the sale.
Moraczewski shared in a May 20 court document that a buyer had been found. He also shared that the sale would be free and clear of all liens, claims, and encumbrances.
“The proceeds are expected to fully repay secured and unsecured creditors and return equity to the company,” KMBC reported.
It appears that a single buyer is purchasing the majority of the company's assets. No company was named, but court documents described it as a “large, publicly traded company.”
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Over 40 buyers made inquiries about the company. The bankruptcy court will meet on May 27 to decide on the offer.
It's widely expected that the deal will pave the way for La Tiara taco shells to return to stores, but no specific information on that was shared.
