Insect protein company Aspire Food Group goes into receivership

The Superior Court of Ontario orders Aspire Food Group, the London, Ont.-based cricket farming company, into receivership.

According to CBC News, FTI Consulting has been appointed receiver of Aspire and its related entities. This follows an application filed by Farm Credit Canada (FCC) in which it said Aspire owed FCC nearly $41.5 million.

Aspire opened the 150,000-sf plant in 2022 with financial support from Sustainable Development Technologies Canada and NGEN Supercluster. It was expected to produce 20,000 metric tonnes of cricket products annually for the pet food market and frass.

In its application, FCC, as quoted by CBC News, says, “As a result of the fundamental operational issues plaguing the Facility, the Aspire Group has not been able to produce positive cash flow/earnings, and production has come to a complete halt in order for the Aspire Group to focus on research and development.”

The petition adds, “Notwithstanding these amendments, the Aspire Group has failed to recommence production, and its working capital is rapidly depleting.”

Read the full story here.