Hoonigan files for Chapter 11 after merger fallout

Rally racer Ken Block and co-driver Alex Gelsomino during a private test on a county road in northern Michigan. Photo: Mark J. Rebilas

PARK CITY, Utah – Hoonigan, the lifestyle brand founded by late rally driver Ken Block, has filed for Chapter 11 bankruptcy, according to a recent press release.

After a 2021 merger with aftermarket wheel company Wheel Pros, the combined company struggled under $1.75 billion in debt. The filing seeks to eliminate $1.2 billion of that and raise $570 million in new capital.

Though the brand hopes this restructuring will lead to long-term growth, it marks a significant shift from the Hoonigan culture fans knew, especially following Block’s 2023 passing.

Block was well-known in the area for his contributions to motorsports and his active involvement in the local community. Block was a professional rally driver and founder of the Hoonigan brand, and he made Park City his home for several years before his passing in early 2023.