STRATHROY, ON, March 25, 2022 /CNW/ - Eve & Co Incorporated ("Eve & Co" or the "Company") (TSXV: EVE) (OTCQX: EEVVF) announces today that the Company and its subsidiaries, Natural MedCo Ltd. ("NMC") and Eve & Co International Holdings Ltd. ("Eve International" and together with Eve & Co and NMC, the "Eve Group") received an order for creditor protection (the "Initial Order") from the Ontario Superior Court of Justice (Commercial List) (the "Court") under the Companies' Creditors Arrangement Act (the "CCAA").
The Initial Order includes, among other things: (i) a stay of proceedings in favour of the Eve Group; (ii) approval of a debtor-in-possession loan from Deans Knight Capital Management Ltd., on behalf of its clients (the "DIP Loan"); and (iii) the appointment of BDO Canada Limited as monitor of the Eve Group (in such capacity, the "Monitor"). A copy of the Initial Order and other information will be available on the Monitor's website at: https://www.bdo.ca/en-ca/extranets/eve-co-incorporated-and-natural-medco-ltd/
The granting of the Initial Order allows the Eve Group to draw the first advance under the DIP Loan, in the amount of $1,200,000. These funds will be used to finance working capital requirements until the comeback hearing on April 1, 2022 (the "Comeback Hearing").
At the Comeback Hearing, the Eve Group will seek, among other things, the Court's approval of a sale and investment solicitation process ("SISP"). The Eve Group intends to conduct the SISP with the goal of facilitating a transaction that sees the Eve Group emerge from CCAA protection as a going concern.
The Eve Group intends to operate in the ordinary course throughout the CCAA proceedings and while conducting the SISP. Management of the Eve Group will remain responsible for the day-to-day operations of the Eve Group, under the general oversight of the Monitor. The Eve Group's day-to-day obligations to employees and key suppliers of goods and services, from and after the filing date, will continue to be met.
About Eve & Co
Eve & Co, through its wholly-owned subsidiary NMC, holds cultivation and processing licences under the Cannabis Act (Canada) for the production and sale of various cannabis products, including dried cannabis, cannabis plants and extraction of cannabis oil, and has received its European Union certificate of Good Manufacturing Practice. NMC was Canada's first female-founded licensed producer of medicinal marijuana and received its cultivation licence from Health Canada in 2016. Eve & Co is led by a team of agricultural experts and has a licensed 1,000,000 square foot greenhouse located in Strathroy, Ontario.
The Company's website can be visited at www.evecannabis.ca.
Notice regarding forward looking statements:
Certain statements in this press release constitute forward-looking information. All statements other than statements of historical fact contained in this press release, including, without limitation, those regarding the Company's expected use of proceeds, opportunities for growth, future, strategy, plans, objectives, goals and targets, and any statements preceded by, followed by or that include the words "believe", "expect", "aim", "intend", "plan", "continue", "will", "may", "would", "anticipate", "estimate", "forecast", "predict", "project", "seek", "should" or similar expressions or the negative thereof, are forward-looking statements. These statements are not historical facts but instead represent only the Company's expectations, estimates and projections regarding future events. These statements are not guarantees of future performance and involve assumptions, risks and uncertainties that are difficult to predict, including those described in the Company's management's discussion and analysis for the three and nine months ended September 30, 2021 and 2020 which is available on the Company's SEDAR profile. Therefore, actual results may differ materially from what is expressed, implied or forecasted in such forward-looking statements. The forward-looking information and forward-looking statements included in this news release are made as of the date of this news release. The Company does not undertake an obligation to publicly update such forward-looking information or forward-looking statements to reflect new information, subsequent events or otherwise unless required by applicable securities law.
SOURCE Eve & Co Incorporated
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