Global Food and English Limited (GFI), a pulse crops and plant-based food ingredients company, is winding down its operations while owed at least $21 million to secured lenders.
The Toronto, Ontario-based company buys and sells peas, beans, lentils, chickpeas, and other high-protein specialty crops, with three handling facilities in LaJord, Sedley, and Zealandia, South Carolina. , operates a distribution center near Raleigh, North Carolina. .
As of May 15, the Canadian Grain Board has revoked Global Food and English’s licenses to sell grain, including Famous Elevator’s three major elevator licenses. Process elevator licenses in Borden, Alta., and Zealandia, Sask., will also be revoked.
“This contraction is a result of recent macroeconomic conditions that have made it difficult for GFI to purchase sufficient supplies of raw materials to feed its processing assets,” the company said in a May 7 press release. “There is…” he said.
“Management and the Board of Directors have determined that these challenges make it nearly impossible for the Company to continue operating and service its debt, leaving it with no choice but to wind down its operations,” the company continued.
GFI said its board of directors and financial advisors considered options to enable it to continue operating, including refinancing, bridging financing, and selling all or part of its business and assets, but those efforts were unsuccessful. Ta.
Two of the company’s unnamed senior secured lenders are demanding full payment of Global Food & English’s debts with balances of $14,987,992 and $6,844,973, respectively, according to a May 8 update. did.
The application to appoint a receiver is scheduled to be heard on May 23 in the Ontario Superior Court of Justice in Toronto. Trading in GFI’s common stock on the TSX Venture Exchange (which traded under the acronym PEAS) was suspended and the company’s board of directors resigned.
GFI acquires three pulse and specialty crop facilities in Saskatchewan From Canpulse Foods, which went bankrupt in November 2019.. The company has been operating in North Carolina since establishing its U.S. distribution headquarters in 2020 under the name North Lily Foods, Inc.
Canadian grain farmers who owe money to GFI are asked to contact the Canadian Grain Board immediately through its website or by calling 1-800-853-6705 or 204-984-0506.
Related: Recipient is still looking for a buyer for Merit Functional Foods
