ARTICLE
17 October 2025

Legal Readiness For Food Producers : Navigating Wittington Investments' C$100M Fund

BJ
Bennett Jones LLP

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Bennett Jones is one of Canada's premier business law firms and home to 500 lawyers and business advisors. With deep experience in complex transactions and litigation matters, the firm is well equipped to advise businesses and investors with Canadian ventures, and connect Canadian businesses and investors with opportunities around the world.
Wittington Investments, the Weston family's holding company, recently announced a C$100 million fund to support Canadian food producers.
Canada Food, Drugs, Healthcare, Life Sciences
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Wittington Investments, the Weston family's holding company, recently announced a C$100 million fund to support Canadian food producers. This initiative, part of Galen Weston's broader C$1 billion philanthropic commitment, offers a rare opportunity for domestic food businesses to access growth capital through equity or debt financing. The fund aims to strengthen Canada's food security, support innovation in sustainable agriculture and bolster local supply chains amid rising climate and geopolitical risks.

With opportunity comes complexity. For food producers considering this path, legal preparedness is not just advisable, it is essential to successfully navigate the investment process and secure long-term viability.

Legal Readiness: More Than Just a Pitch Deck

Investors like Wittington are not only looking for promising products and market potential—they are evaluating legal and operational maturity. Here's how food producers can prepare to be ready to access capital when the opportunity arises:

Equity vs. Debt: Know What You're Signing Up For

Equity financing involves selling a portion of your company in exchange for capital. This can dilute ownership but often brings opportunities for strategic partnership and long-term alignment.

Legal Tip: Review or draft a robust shareholders' agreement. Key clauses to address include:

  • voting rights and decision-making thresholds
  • board composition and appointment rights
  • drag-along and tag-along provisions to manage future exits
  • anti-dilution protections, particularly in follow-on investment rounds

In the alternative, debt financing involves borrowing funds with an obligation to repay, often with interest.

Legal Tip: Scrutinize security documentation. Ensure clarity on:

  • default triggers (e.g., missed payments or loan covenant breaches)
  • security agreements (assets pledged as collateral)
  • personal guarantees, which may expose founders' personal assets

Intellectual Property: Protect Your Competitive Edge

In the food industry, your brand, recipes and processes are often your most valuable assets.

Legal Tip: Conduct an IP audit before investor discussions to ensure your IP is owned, protected and free of encumbrances. Consider the following:

  • ownership is clearly documented (especially for IP developed by contractors or collaborators)
  • trademarks and patents are registered, where applicable
  • trade secrets (e.g., recipes and processes) are protected via non-disclosure agreements and internal controls
  • there are no outstanding IP disputes or licensing encumbrances

Regulatory Compliance: Build Investor Confidence

Food producers must comply with a complex web of federal and provincial regulations.

Legal Tip: Maintain a compliance binder with licenses, inspection reports and internal policies. This should include:

  • business licenses and food safety certifications
  • health and safety protocols
  • inspection reports and corrective action logs
  • environmental compliance documents, especially for agrifood businesses with waste or emission footprints

Due Diligence: Prepare for the Microscope

Investors will conduct a deep dive into your business. Being prepared can speed up the process and improve your valuation.

Legal Tip: Conduct a pre-investment legal health check to uncover and resolve issues early. This can help you:

  • resolve outstanding litigation or contract disputes
  • ensure employment agreements and contractor arrangements are compliant
  • confirm that corporate records (e.g., minute books) are up to date
  • identify and fix any inconsistencies in supplier or customer contracts

Governance and Control: Balance Growth with Autonomy

Wittington's fund is designed to take minority stakes, but even minority investors may seek influence.

Legal Tip: Negotiate governance terms carefully. Important considerations include:

  • Board representation: Who appoints directors and under what conditions?
  • Veto rights: Are there reserved matters that require investor approval (e.g., major expenditures, strategic pivots, new share issuances)?
  • Reporting obligations: Frequency and format of financial and operational reporting.

Final Thoughts

Wittington Investments' fund is a game-changing opportunity for Canadian food producers, but only for those who are legally and operationally ready. By proactively addressing IP, compliance, due diligence and financing structures, food businesses can position themselves not just to receive investment, but to thrive with it.

The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.

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