VANCOUVER, BC, June 29,
2022 /CNW/ - good natured Products Inc. (the
"Company" or "good
natured®") (TSXV: GDNP) (OTCQX:
GDNPF), a North American leader in plant-based products, today
announced that it has entered into an extension agreement dated
June 29, 2022 (the "Extension
Agreement") with its primary lender in connection with the senior
credit agreement dated October 28,
2021 between the Company and its primary lender (the "Senior
Credit Facility"). The Extension Agreement relates to the breach of
the fixed charge coverage ratio covenant ("FCCR") under the Senior
Credit Facility as previously announced in the Company's press
releases dated May 9, 2022 and
May 12, 2022.
Under the Extension Agreement, the Company's primary lender has
agreed to forbear from exercising its enforcement rights with
respect to past breaches of the FCCR as at December 31, 2021 and March 31, 2022 for a period of 60 days from the
date of the Extension Agreement and has provided a waiver of the
FCCR covenant as at June 30,
2022.
The Company is pursuing a refinancing of the Senior Credit
Facility during the 60-day period (the "Refinancing"). The Company
has signed a non-binding letter of intent with a major U.S. bank
and non-binding term sheet with a major Canadian lender with
respect to the Refinancing and is currently in due diligence and
further negotiations with both entities in pursuing the
Refinancing.
The good natured® corporate profile can be
found at: investor.goodnaturedproducts.com
About good natured Products Inc.
good
natured® is passionately pursuing its goal of
becoming North America's leading
earth-friendly product company by offering the broadest assortment
of plant-based products made from rapidly renewable resources
instead of fossil fuels. The Company is focused on making it easy
and affordable for business owners and consumers to shift away from
petroleum to better everyday products® that use
more renewable materials, less fossil fuel, and no chemicals of
concern.
good natured® offers over 400 products and
services through wholesale, direct to business, and retail
channels. From plant-based home organization products to certified
compostable food containers, bio-based industrial supplies and
medical packaging, the Company is focused on making plant-based
products more readily accessible to people as a means to create
meaningful environmental and social impact.
For more information: goodnaturedproducts.com
On behalf of the Company:
Paul Antoniadis – Executive Chair & CEO
Contact: 1-604-566-8466
Investor Contact:
Spencer Churchill
Investor Relations
1-877-286-0617 ext. 113
invest@goodnaturedproducts.com
Neither TSX Venture Exchange nor its Regulation Services
Provider (as that term is defined in the policies of the TSX
Venture Exchange) accepts responsibilities for the adequacy or
accuracy of this release.
Cautionary Statement Regarding Forward-Looking Information
This press release contains "forward-looking statements"
within the meaning of applicable securities laws. Forward-looking
statements can be identified by words such as: "anticipate,"
"intend," "plan," "budget," "believe," "project," "estimate,"
"expect," "scheduled," "forecast," "strategy," "future," "likely,"
"may," "to be," "could,", "would," "should," "will" and similar
references to future periods or the negative or comparable
terminology, as well as terms usually used in the future and the
conditional. Examples of forward-looking statements include, among
others, statements regarding the Extension Agreement and the
Refinancing. All forward-looking statements contained in this news
release are expressly qualified in their entirety by this
cautionary statement.
By their nature, forward-looking statements involve known and
unknown risks, uncertainties, changes in circumstances and other
factors that are difficult to predict and many of which are outside
of the Company's control which may cause our actual results,
performance or achievements, or other future events, to be
materially different from any future results, performance or
achievements expressed or implied by such forward-looking
statements. In particular, there is a risk that the Refinancing may
not be completed prior to the end of the forbearance period under
the Extension Agreement. In such scenario, for clarity the Company
would be in default under the Senior Credit Facility.
Forward-looking statements are neither historical facts nor
assurances of future performance. Instead, they are based only on
the Company's current beliefs, expectations and assumptions
regarding the future of its business, future plans and strategies,
projections, anticipated events and trends, general market
conditions, the economy and other future conditions. The Company's
actual results and financial condition may differ materially from
those indicated in the forward-looking statements. Therefore, you
should not rely on any of these forward-looking statements.
Important factors that could cause actual results and financial
conditions to differ materially from those indicated in the
forward-looking statements include, among others risks relating to
general economic, market and business conditions and unforeseen
delays in the realization of the benefits of the Acquisition
described in this press release.
The Company considers its assumptions to be reasonable based
on currently available information, but cautions the reader that
its assumptions regarding future events, many of which are beyond
the control of the Company, may ultimately prove to be incorrect
since they are subject to risks and uncertainties that affect the
Company and its businesses. When relying on the Company's
forward-looking statements and information to make decisions,
investors and others should carefully consider the foregoing
factors and other uncertainties and potential events. The Company
has assumed that the material factors referred to above will not
cause such forward-looking statements and information to differ
materially from actual results or events. However, there can be no
assurance that such assumptions will reflect the actual outcome of
such items or factors.
Other than as required under securities laws, the Company
does not undertake to update this information at any particular
time.
SOURCE Good Natured Products