Fast-growing plant-based food technology company to significantly boost U.S. retail presence with new wholesale distribution partnership
Vancouver, British Columbia--(Newsfile Corp. - May 6, 2021) - The Very Good Food Company Inc. (TSXV: VERY.V) (OTCQB: VRYYF) (FSE: 0SI) ("VERY GOOD" or the "Company"), a leading plant-based food technology company, today announced a significant milestone in its mission to help consumers rethink their food choices by deepening its relationship and signing a U.S. distribution agreement with United Natural Foods (UNFI), the largest publicly traded wholesale distributor of health and specialty food in North America. VERY GOOD previously entered into a distribution partnership with UNFI in Canada during the fourth quarter of fiscal year 2020.
UNFI distributes over 250,000 natural, organic and conventional products to more than 30,000 retailers including natural product superstores, independent retailers, conventional supermarket chains, ecommerce retailers and food service industry customers across the U.S. and Canada through its 58 distribution centres. This distribution agreement will play a key role in VERY GOOD's retail expansion efforts driving its growing presence in the U.S. plant-based foods industry. In March, UNFI extended its primary wholesale grocery distribution relationship with Whole Foods Market to September 2027.
UNFI recently announced it is adding 53 all-electric transport refrigerated trailer units to its fleet located at their Riverside, California distribution centre. This effort is in keeping with UNFI's Better for All 2030 Environmental, Social and Governance (ESG) agenda. This bold commitment by UNFI aligns with VERY GOOD's core values including sustainability and our mission to help transform the future of food.
"As more households recognize the benefits that come from incorporating tasty, healthy and low-processed plant-based options into their diet, it is critical to The Very Good Food Company's success that we partner with established and respected wholesale distributors," said Co-founder and CEO Mitchell Scott. "UNFI is not only one of the largest food distributors in North America, but they understand and support our steadfast mission to provide our customers plant-based food products that are delicious while maintaining a wholesome nutritional profile."
VERY GOOD currently offers 14+ plant-based products through more than 1,300 distribution points and is poised to continue its growth through product innovation, expanded production capabilities, focused eCommerce digital marketing initiatives and new retail distribution partnerships. The Company recently shared its fiscal fourth quarter and 2020 year end results, demonstrating a 364% increase in revenue to $4.6M compared to the prior year, as well as an increase in adjusted gross profit of 37% in the fourth quarter of fiscal 2020.
In addition to building the Company's points of distribution across the U.S. and Canada, European expansion efforts are also underway. VERY GOOD plans to launch an eCommerce sales platform in the United Kingdom in the third quarter of 2021, as well as an online platform in the European Union late in the fourth quarter of 2021.
About The Very Good Food Company Inc.
The Very Good Food Company Inc. is an emerging plant-based food technology company that produces plant-based meat and other food products that are delicious while maintaining a wholesome nutritional profile. To date we have developed a core product line under The Very Good Butchers brand.
OUR MISSION IS LOFTY, BADASS BUT BEAUTIFULLY SIMPLE: GET MILLIONS TO RETHINK THEIR FOOD CHOICES WHILE HELPING THEM DO THE WORLD A WORLD OF GOOD. BY OFFERING PLANT-BASED FOOD OPTIONS SO DELICIOUS AND NUTRITIOUS, WE'RE HELPING THIS KIND OF DIET BECOME THE NORM.
This news release contains forward-looking information for the purpose of providing information about management's current expectations and plans relating to the future. Readers are cautioned that reliance on such information may not be appropriate for other purposes. Any such forward-looking information may be identified by words such as "proposed", "expects", "intends", "may", "will", and similar expressions. Forward-looking information contained or referred to in this news release includes statements relating to: the expected benefits to VERY GOOD from the distribution deal with UNFI including VERY GOOD's ability to achieve a growing presence in the U.S. plant-based foods industry; the Company's plans and ability to continue growth through product innovation, acquisitions, expanded production capabilities, enhanced eCommerce functionality and retail distribution partnerships; and VERY GOOD's plans for expansion to the United Kingdom and European Union and the expected timing for these initiatives. Forward-looking information is based on a number of factors and assumptions which have been used to develop such information, but which may prove to be incorrect including, but not limited to, material assumptions with respect to the continued strong demand for VERY GOOD's products, VERY GOOD's ability to secure placements under the UNFI distribution partnership, the availability of sufficient financing on reasonable terms to fund the Company's capital requirements and the ability to obtain necessary equipment, production inputs and labour. Although the Company believes that the expectations reflected in such forward-looking information are reasonable, undue reliance should not be placed on forward-looking information because VERY GOOD can give no assurance that such expectations will prove to be correct. Risks and uncertainties that could cause actual results, performance or achievements of VERY GOOD to differ materially from those expressed or implied in such forward-looking information include, among others, negative cash flow and future financing requirements to sustain and grow operations, limited history of operations and revenues and no history of earnings or dividends, expansion of facilities, competition, availability of raw materials, dependence on senior management and key personnel, general business risk and liability, regulation of the food industry, change in laws, regulations and guidelines, compliance with laws, unfavourable publicity or consumer perception, product liability and product recalls, risks related to intellectual property, difficulties with forecasts, management of growth and litigation, as well as the impact of, uncertainties and risks associated with the ongoing COVID-19 pandemic, many of which are beyond the control of VERY GOOD. For a more comprehensive discussion of the risks faced by VERY GOOD, please refer to VERYGOOD's Management's Discussion & Analysis for the fiscal years ended December 31, 2020 and 2019 filed with Canadian securities regulatory authorities at www.sedar.com. The forward-looking information in this news release reflects the current expectations, assumptions and/or beliefs of the Company based on information currently available. Any forward-looking information speaks only as of the date on which it is made and, except as may be required by applicable securities laws, VERY GOOD disclaims any intent or obligation to update any forward-looking information, whether as a result of new information, future events or results or otherwise. The forward-looking information contained in this news release is expressly qualified by this cautionary statement.
The TSX Venture Exchange has neither approved nor disapproved the contents of this news release. Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this news release.
The Very Good Food Company
Corporate Communications and Investor Relations
Phone: +1 855-472-9841
Phil Carlson / Erika Kay
KCSA Strategic Communications
KCSA Strategic Communications
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