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Elevate Magazine
November 28, 2024

Sustainable Foods Limited Enters Liquidation

sustainable foods limited enters liquidation

Plant-based food manufacturer Sustainable Foods Limited (SFL) has entered liquidation, just two months after its transition into voluntary administration.

The decision to liquidate the award-winning company was reached during “a watershed meeting” of creditors on November 22.

Malcolm Hollis and Richard Nacey, who served as the voluntary administrators for the company, have now been appointed as liquidators.

In late August, Sustainable Foods Limited went into voluntary administration, blaming tough market conditions. The company sought to raise between $500,000 and $1 million to support its operations and continue trading into 2025.

“SFL has been caught in a perfect storm,” SFL co-founder Justin Lemmens said, referring to the tough trading conditions that coincided with the company’s development of a new product.

Justin Lemmens and Kyran Rei established Sustainable Foods Limited (SFL) in 2018. The company’s product lineup included plant-based chicken, sausages, mince, and burger patties, with hemp as a primary ingredient.

Its Plan*t brand products are available in New Zealand’s largest supermarkets and are utilised by restaurant chains such as Hell Pizza and St. Pierres Sushi.

In 2022, Sustainable Foods Limited was awarded Business of the Year at the Electra Business & Innovation Awards.

The company successfully raised $2.15 million through a crowdfunding campaign and garnered notable support, with All Black TJ Perenara becoming a brand ambassador, partner, and investor. Additionally, media company Stuff holds a 1.91% stake in the startup.

It also secured a loan of $1.25 million from the New Zealand Government’s Regional Strategic Partnership Fund. This funding is intended to support the company’s expansion and enhance its production capabilities in the plant-based food sector.

SFL, which at one point employed over 60 staff, moved from Kāpiti to Ashburton at the start of 2024.