Groupe Colabor Inc. Provides Business Update
On October 16, 2025, Groupe Colabor Inc. announced the extension of its forbearance agreement with primary lenders and Investissement Québec until January 30, 2026. The revised terms require maintaining a minimum cash balance of $1 million and a monthly verified EBITDA benchmark over the last twelve months.
Additionally, the company is mandated to submit non-binding letters of intent by December 15, 2025. These letters are crucial for refinancing credit facilities and raising at least $15 million in equity. Despite ongoing efforts from Groupe Colabor and its external advisors, the company has not yet provided such letters to satisfy the lenders for refinancing.
Ongoing Negotiations and Financial Challenges
Groupe Colabor continues discussions with its primary lenders and Investissement Québec to modify the forbearance agreement further, aimed at extending the tolerance period until January 30, 2026. The company is also negotiating for additional liquidity to address short-term cash flow needs essential for its operations and the exploration of strategic alternatives.
It is important to note that there are no guarantees that these long-term agreements with lenders or strategic alternatives will be successfully implemented. Without viable options, Colabor’s operations could face significant challenges.
Future Considerations for Investors
- Investors should be aware that their investment value may decrease significantly.
- The company is considering various solutions, including potential creditor protection under applicable laws.
- These developments underscore inherent uncertainties and risks that could lead to results diverging substantially from current expectations.
For further inquiries, Yanick Blanchard, interim CFO of Groupe Colabor Inc., can be contacted at 450-449-4911, extension 1782. For investor relations, Danielle Ste-Marie of Ste-Marie Stratégies et Communications Inc. is available at 450-449-0026, extension 1180.
About Groupe Colabor Inc.
Groupe Colabor is a distributor and wholesaler of food products and related items, servicing the Foodservice, Hospitality, and Institutional (HRI) sectors in Quebec and the Atlantic provinces, as well as retail markets. The company provides a diverse range of specialized food products including fish, seafood, and meats, alongside various food-related services through its broadline distribution activities.
Investors and stakeholders should refer to the detailed management report for further information on the company’s strategies and future outlook. Care should be taken when relying on forward-looking statements provided by the company, as these may evolve as circumstances change.
