Oragin Foods talks with convertibles holders have not borne fruit; directors resign

By Wendy Van Sickle

Columbus, Ohio, Nov. 23 – Oragin Foods Inc. said a special committee comprising four independent directors continued talks management had started with holders of the company’s convertible debentures but that the two parties were unable to reach an agreement regarding payment of the convertibles.

Further, the four directors who made up the committee have now resigned from Oragin’s board of directors, according to a company announcement on Wednesday.

Those directors included Ken Villazor, Keith Stein, Micheal Lovsin and Kevin Williams.

The company received notices of default from holders of the convertibles, which were issued on Oct. 25, 2019 and matured on Oct. 25, 2022, as previously reported.

The company at that time said it had been in talks with the debentureholders leading up to the maturity date; however, the holders provided the notices of default on Oct. 27.

Under the terms of the debentures, the company had 10 business days, the last such day being Nov. 10, to remedy the default.

The company’s failure to remedy the default by the end of the cure period resulted in a technical event of default.

The company said Wednesday it may continue discussions with holders if it believes mutually agreeable terms are feasible.

Oragin Foods is a Canadian food company based in Toronto.

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