A Quebec court has approved Goodfood Market Corp.’s request for creditor protection as the Montreal-based meal kit company seeks to restructure with new ownership or investor support. Goodfood initiated the process by filing an application with the Superior Court of Quebec to shield itself from creditors.
The court has granted an initial protection order, typically providing a 30-day safeguard from creditors initiating new lawsuits to collect debts. This protection period can be extended during subsequent hearings as companies progress with their restructuring efforts.
Goodfood aims to restructure its operations during the creditor protection period, allowing the company the necessary time and flexibility to do so. The company plans to seek court approval to seek potential buyers or investors for its business and assets.
According to court documents, Goodfood faced financial challenges due to outstanding debts, prompting the need for court intervention and potential sale considerations. Despite previous unsuccessful ventures, such as an on-demand grocery division launched in November 2021, the company retains 233 employees.
Goodfood assures customers that orders will continue to be fulfilled during the court proceedings. The company was founded in 2014 by Jonathan Ferrari and Neil Cuggy, with Ferrari stepping down as CEO in 2025 and Cuggy leaving his role by 2026. Recently, CEO Selim A. Bassoul resigned and was succeeded by Najib Maalouf, the former COO and president.