A Quebec court has approved Goodfood Market Corp.’s request for creditor protection as the Montreal-based meal kit company seeks to undergo restructuring with new ownership or investor support. The company’s move to shield itself from creditors includes filing an application with the Superior Court of Quebec, which has granted an initial protection order typically lasting 30 days. This protection period can be extended as needed during the restructuring process.
Goodfood’s objective is to restructure its operations, and the creditor protection will provide the necessary time and flexibility to achieve this goal. The company plans to seek court approval to explore potential buyers or investors for its business and assets in the near future.
Court filings reveal that Goodfood faced financial challenges, leading to the decision to seek creditor protection and potentially consider a sale due to substantial debts owed to creditors. Despite a failed attempt to launch an on-demand grocery service in November 2021, which was discontinued in October 2023 due to profitability issues, the company retained 233 employees.
Goodfood has assured that there are no immediate job losses expected as a result of the court proceedings, although targeted workforce reductions may be necessary. Throughout the legal process, customers can continue to place orders, which the company will fulfill as usual.
Founded in 2014 by Jonathan Ferrari and Neil Cuggy, Goodfood saw changes in its executive leadership, with Ferrari stepping down as CEO in August 2025 and Cuggy departing as president and COO by January 2026 according to court records. Recently, CEO Selim A. Bassoul resigned and was succeeded by Najib Maalouf, who assumed the role of chief operating officer and president.
Overall, Goodfood’s decision to seek creditor protection marks a significant step in its efforts to navigate financial challenges and restructure its operations for future sustainability and growth.