Plant-based business Atlantic Natural Foods has filed for Chapter 11 bankruptcy proceedings in the US.
The Loma Linda ready meals and Tuno tuna alternatives owner initiated bankruptcy protection proceedings in the Louisiana Eastern Bankruptcy Court on 7 April, an official filing shows.
New Orleans, Louisiana-headquartered Atlantic Natural Foods has reported assets of $10-50m and liabilities of between $1-10m, according to the filing, which added that the company has 100 to 199 creditors.
Fishman Haygood, the New Orleans-based firm appointed to oversee the legal process, had not responded to Just Food’s request for more details on the proceedings at the time of writing.
A spokesperson for Atlantic Natural Foods declined to share any more information but said the company would “continue to service customers and consumers as we build up to our new restructured planned outcome”.
The court document states Atlantic Natural Foods is owned by ANF Hold Co. and the US division of plant-based peer Above Food. But, late last year, Atlantic Natural Foods revealed it had ended a relationship with Canada-headquartered Above Food and planned to return to private ownership.
Nevertheless, the two businesses said in December they would still maintain ties, with Atlantic Natural Foods retaining shares in Above Food, which was also “retaining interest” in Atlantic Natural Foods.
Atlantic Natural Foods entered into a “partnership” agreement with Above Food in late 2021, described at the time by the Canadian company as a “binding transaction agreement”. Financial details were not disclosed.
Then in May 2023, Above Food said it was set to buy Atlantic Natural Foods as part of its IPO plans and a targeted listing on the Nasdaq stock exchange.
Atlantic Natural Foods chairman Douglas Hines said at the time: “In 2021, Above Food acquired a minority interest, increased it in 2022; today they [Above Food] retain a minority interest. Agreement was finalised that Atlantic Natural Foods will roll the balance of their shares into the IPO and Above Food will have the controlling shares.”
Announcing the end of the relationship in December, Atlantic Natural Foods said the “decision reflects a strategic realignment following a comprehensive evaluation of the evolving business landscape”, citing factors such as the Covid-19 pandemic, supply chain disruptions and food inflation.
Hines commented: “Operating in the industry’s ever-changing landscape has not been without its challenges, but we remain steadfast in our commitment to resetting the standards for the years ahead. We are drawing on tried-and-true food preparation and supply methods that have withstood the test of time to meet the needs of our global consumers.”