UPSIDE Foods has dropped its $50 million bid for the US production facility of distressed cultivated meat firm Believer Meats, according to court documents* filed in North Carolina.
The North Carolina Business Court approved UPSIDE Foods’ asset purchase agreement as the baseline “stalking horse” bid in June, while BDO Consulting Group marketed the assets for a higher offer.
In late July, receiver Kevin Sink asked the court to extend the competing-bid deadline, citing “numerous discussions” with interested parties.
But in an August 17 filing, Sink said UPSIDE had notified him three days earlier that it was terminating the purchase agreement.
“As a result, the stalking horse bid no longer exists. No qualifying bids were received for the transferred assets by the final bid deadline. Based on the foregoing events, no auction will be conducted for the transferred assets on 17 August 2026, and no need exists for this court to conduct a sale hearing on 20 August 2026.”
He added: “The receiver reserves all rights against the buyer and all other parties in connection with the purchase agreement, the sale procedures order, the order amended deadlines, and otherwise.”
Sink is now “evaluating appropriate next steps in light of the foregoing events and will proceed accordingly.”
According to court documents filed in June, UPSIDE is permitted to terminate the asset purchase agreement without incurring any liability for several specified reasons, including if the receiver materially breached the agreement; if required agreements with creditors Gray Construction or GEA were not executed by the relevant deadline; if UPSIDE could not make the required determination that operating the facility would not materially infringe third-party IP; if the court failed to enter the required orders; or if the receiver pursued an alternative transaction.
AgFunderNews has reached out to the receiver and BDO to find out whether the plan is now to re-market the facility as a package, negotiate directly with previous interested parties, or pursue a piecemeal liquidation of the individual assets/pieces of equipment.
UPSIDE Foods did not immediately respond to a request for comment.
Israeli trustee fielding bids for IP
One of the best-funded players in the space, having raised almost $400 million from backers including ADM Ventures and Tyson Ventures, Future Meat Technologies Inc (d.b.a. Believer Meats) ceased operations in December. It was put into general receivership in early February after receiver Kevin Sink secured court approval to sell the firm’s US assets.
The sale included Believer Meats’ $150 million Wilson, North Carolina production facility and related assets including bioreactors, media and process tanks, centrifuges, freezing systems, wastewater systems, automation and production-control systems plus some intangible assets such as permits and licenses. It excludes selected kit leased by CSC Leasing and Roberts Oxygen Company.
Yoel Freilich, the Israeli trustee tasked with selling Believer Meats’ IP, told AgFunderNews that it has “received bids from several parties for the IP all through the industry.”
Gray Construction and Ameris Bank first in line for proceeds
In a lawsuit filed by Gray Construction last year, Gray alleged it was owed $36.4 million for design and construction work on the North Carolina facility. Ameris Bank is also a senior secured lender, having provided a $25 million term loan backed by a first-priority security interest in Believer’s bank accounts, machinery, and equipment.
Other secured parties listed in court filings include Robert Reiser and Company, Leaf Capital Funding, ADM Ventures Investment Corp, GEA Systems North America, and GEA Mechanical Equipment US.
*The case is Gray Construction Inc d.b.a. James N Gray Company (plaintiff) vs Future Meat Technologies Inc d.b.a. Believer Meats (defendant) and Meris Bank (intervenor/plaintiff) in North Carolina Business Court, a specialized division of the state’s Superior Court system. Case: 2025-CV-S5578
Further reading:
Cultivated meat deep dive: After the crash, who’s still standing?
Believer Meats trustee sets August 5 deadline for cultivated meat IP auction
