GUELPH — Organic Meadow debuted a new face to the world last month, joining forces with a dairy processor and an investment firm in Western Canada.
On Nov. 16, the Guelph-based co-op finalized a deal to create Organic Meadow Limited Partnership, which will handle the sales, marketing, and processing for the brand. It takes over the roles of Organic Meadow Co-operative’s two related former companies, which held the processing licence and owned its Guelph processing plant.
Co-op members (including more than 50 milk producers) hold a minority equity interest in the new company and Organic Meadow will be a subsidiary of Meadowfresh Dairy, a British Columbia processor owned by Agrifoods International Cooperative Ltd.
Avrio Capital, a Calgary-based agricultural investment firm, also has a stake in the company.
The partnership could boost the brand’s ability to compete nationally and its Guelph production facility could get a facelift, including the possibility of exploring new products, says co-op marketing manager Michelle Schmidt.
It’s the final piece in a restructuring process that started a year ago. In April, after months of grappling with a milk shortage, Organic Meadow requested a stay of proceedings to hold off creditors. In September, it received court approval for proposals to repay a portion of the nearly $7 million owned to unsecured creditors.
