January 16, 2023
The Very Good Food Company Inc. et al., a Vancouver, BC-headquartered group of companies which produce plant-based meat and cheese products which are sold wholesale to retailers and also direct to consumers across Canada and the US, were placed in receivership on January 16, on application by Waygar Capital Inc., as agent for Ninepoint Canadian Senior Debt Master Fund L.P. The lender is owed approximately $8.1 million, and sought the appointment of a receiver as a result of, among other factors, breaches of the credit agreement, including a breach of the cash coverage ratio and exceeding the amount permitted by the borrowing base calculation, as well as alleged mismanagement of the business, all of which seriously jeopardized the lender’s collateral and the companies' ability to repay the loan. BDO was appointed receiver. MLT Aikins is counsel for Waygar.
By Dina Milivojevic
