Organic Garage Ltd. recently announced that it has entered into a definitive agreement with The Future of Cheese Company Corp. to acquire the Future of Cheese (FoC) plant-based cheese brand. This announcement follows an earlier press release from the company on January 18, 2021 regarding the execution of a binding letter of intent between Organic Garage and FoC.
FoC is a Toronto, Ontario-based company specialising in high quality plant-based foods and is engaged in the development, manufacturing and marketing of plant-based dairy products. Under the terms of the definitive agreement, the company resulting from the acquisition intends to change its name to The Future of Cheese Inc. The Future of Cheese Inc. will remain a wholly owned subsidiary of Organic Garage and will operate the FoC business as an adjunct to, but separate from, Organic Garage’s organic food business.
Under the terms of the definitive agreement, the Company will acquire all of the issued and outstanding shares of FoC through the issuance of 13,800,000 common shares to the current shareholders of FoC at an agreed price of CAD 0.45 per share. 690,000 common shares will also be issued to an independent agent in connection with the acquisition. Completion of the acquisition is subject to TSX Venture Exchange approval and other customary conditions. The acquisition is expected to close by the end of February 2021, subject to the satisfaction of all conditions set out in the definitive agreement.
Matt Lurie, CEO of Organic Garage, commented, “I am pleased to have signed the definitive agreement with Future of Cheese. We can now take the next step and fully complete the transaction. The team at FoC has been working hard on the next phase of getting the products to market.”
Craig Harding, co-founder of Future of Cheese, added, “The agreement with Organic Garage paves the way for both companies to receive joint exponential growth and potential value enhancement for OG shareholders through access to the dynamic plant-based food market under the leadership of a team superior to all competitors.”