good natured Products Inc. Announces the Closing of Its Acquisition of Shepherd Thermoforming & Packaging Inc.

Vancouver, British Columbia--(Newsfile Corp. - May 13, 2020) - good natured Products Inc. (TSXV: GDNP) (the "Company" or "good natured®") today announced it has closed the previously announced strategic acquisition of Shepherd Thermoforming & Packaging Inc. ("Shepherd") and all of its real estate for CAD$9.5 million. Shepherd is a leading thermoformer with over 35 years' experience and includes assets such as machinery, molds and a 42,000 square foot manufacturing facility, all located on 2.31 acres of land in the Greater Toronto Area of Brampton, Ontario.

The terms of the acquisition were first announced in a good natured® news release on March 3, 2020 and further details of the transaction were released by the Company on April 29, 2020. The acquisition was an arm’s length transaction which closed in accordance with the terms and conditions as previously disclosed. The purchase price was financed through a combination of the previously announced $6 million BDC mortgage loan, $1.35 million in a vendor-take back promissory note, with the balance funded by drawdown of the Company’s previously announced June 2019 BDC credit facility.

"We're very pleased to announce the completion of this acquisition, and welcome everyone at Shepherd to the good natured® family," said Paul Antoniadis, CEO of good natured®. "Shepherd grows our customer base with an addition of over 75 customers, our capabilities, and our market reach into Eastern Canada and the Northeast United States."

"We are delighted to support an acquisition that marks a key milestone in good natured®'s history as well as its contribution to the adoption of plant-based plastics," said Jahangir Bhatti, Director, Cleantech Practice at BDC. "With its wide assortment of products and strategic Eastern Canada location, Shepherd is in good stance to fuel good natured®'s already robust growth."

The Company also confirms, further to its news release of April 29, 2020, that today the Company completed the conversion of $1 million CAD of its existing long term credit facility with BDC by issuing 6,666,667 common shares ("Shares") to BDC at a deemed price of $0.15 per Share (the "Debt Settlement Shares"), and issued 3,000,000 Shares to BDC with a deemed price of $0.15 per Share as a loan bonus under the same facility (the "Loan Bonus Shares"). The Debt Settlement Shares and the Loan Bonus Shares are subject to a four month hold period expiring September 2020 under applicable securities laws.

$2,800,000 CAD Operating Line of Credit

The Company also announces that it has entered into a Sixth Supplemental Loan Agreement with Comerica Bank, the current senior lender to the Company, under which Comerica Bank will make available to the Company an additional $2.8 million CAD operating line of credit with interest at Prime Rate plus 0.5%, which is available for use upon the closing of the Company's acquisition of Shepherd. The line of credit will be used to fund ongoing growth for the Company and Shepherd through procurement of raw materials, production molds and new product inventories.

About good natured Products Inc.

good natured® is producing and distributing one of North America's widest assortments of better everyday products® made with renewable, plant-based materials and no BPAs, phthalates or other chemicals of concern potentially harmful to human health and the environment.

By combining cutting-edge renewable material technology and the latest sustainable design features, good natured® creates eco-friendly home and business products, food packaging, restaurant/take-out containers and other industrial supplies designed to do good for the planet, good for human health and good for business by driving incremental sales, minimizing waste and improving logistics, all bundled up in a fresh and friendly brand.

For more information:

About Shepherd Thermoforming and Packaging Inc.

Shepherd Thermoforming is a family owned-and-operated business that has become a placeholder in the North American plastics industry since its inception in 1984. With a commitment to customer satisfaction, Shepherd has grown to become an all-in-one solution for custom thermoforming and vacuum forming needs.

Shepherd's 42,000 square foot facility is home to industry leading sales, engineering and production teams. With a commitment to offer complete solutions for all clients, Shepherd applied for and attained SQF (Safe Quality Food) certification to go along with its fully integrated ISO 9001:2015 certificate. This means that Shepherd has the ability to produce custom, food safe clamshells, blister packs and other forms of thermoformed and vacuum formed packages to suit each customer's specific needs.

About BDC

BDC is the only bank devoted exclusively to entrepreneurs. It provides access to financing, both online and in-person, as well as advisory services to help Canadian businesses grow and succeed. Its investment arm, BDC Capital, offers a wide range of risk capital solutions. For 75 years and counting, BDC's purpose has been to support entrepreneurs in all industries and all stages of growth. For more information and to consult more than 1,000 free tools, articles and entrepreneurs' stories, visit

On behalf of the Company:
Paul Antoniadis - Chief Executive Officer
Contact: 1-604-566-8466

Investor Contact:
Andy Phillips
Investor Relations
1-877-286-0617 ext. 113

Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibilities for the adequacy or accuracy of this release.

To view the source version of this press release, please visit

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