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TABLE OF CONTENTS
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 10-Q
(Mark One)
☒QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
For the quarterly period ended March 31, 2022
☐
TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
For the transition period from                            to                               
Commission File No. 001-38880
Whole Earth Brands, Inc.
(Exact name of registrant as specified in its charter)
Delaware
(State or other jurisdiction of
incorporation or organization)
38-4101973
(I.R.S. Employer
Identification No.)
125 S. Wacker Drive, Suite 3150
Chicago, Illinois
60606
(Address of Principal Executive Offices)(Zip Code)
(312) 840-6000
(Registrant’s telephone number, including area code)

Securities registered pursuant to Section 12(b) of the Act:
Title of each classTrading Symbol(s)Name of each exchange on which
registered
Common stock, par value $0.0001 per shareFREEThe NASDAQ Stock Market LLC
Warrants to purchase one-half of one share of common stockFREEWThe NASDAQ Stock Market LLC
Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days. Yes ☒ No ☐
Indicate by check mark whether the registrant has submitted electronically every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T (§ 232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit such files). Yes ☒ No ☐
Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, a smaller reporting company, or an emerging growth company. See the definitions of “large accelerated filer,” “accelerated filer,” “smaller reporting company,” and “emerging growth company” in Rule 12b-2 of the Exchange Act.
Large accelerated filer☐Accelerated filer☒
Non-accelerated filer☐Smaller reporting company☐
Emerging growth company☒
If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐
Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act): Yes ☐ No ☒
As of May 6, 2022, there were 41,912,356 shares of the registrant’s common stock, par value $0.0001 per share, issued and outstanding.


TABLE OF CONTENTS
WHOLE EARTH BRANDS, INC.
Quarterly Report on Form 10-Q
TABLE OF CONTENTS
Page

2
TABLE OF CONTENTS
PART I - FINANCIAL INFORMATION
Item 1.         Financial Statements.
3
TABLE OF CONTENTS
Whole Earth Brands, Inc.
Condensed Consolidated Financial Statements (Unaudited)
For the Quarter Ended March 31, 2022
Condensed Consolidated Financial Statements

4
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Whole Earth Brands, Inc.
Condensed Consolidated Balance Sheets
(In thousands of dollars, except for share and per share data)
(Unaudited)
March 31, 2022
December 31, 2021
Assets
Current Assets
Cash and cash equivalents$29,365 $28,296 
Accounts receivable (net of allowances of $1,340 and $1,285, respectively)
73,089 69,590 
Inventories215,058 212,930 
Prepaid expenses and other current assets8,289 7,585 
Total current assets325,801 318,401 
Property, Plant and Equipment, net59,330 58,503 
Other Assets
Operating lease right-of-use assets24,678 26,444 
Goodwill241,535 242,661 
Other intangible assets, net261,592 266,939 
Deferred tax assets, net1,876 1,993 
Other assets8,747 7,638 
Total Assets$923,559 $922,579 
Liabilities and Stockholders’ Equity
Current Liabilities
Accounts payable$55,426 $55,182 
Accrued expenses and other current liabilities34,503 30,733 
Contingent consideration payable— 54,113 
Current portion of operating lease liabilities8,101 7,950 
Current portion of long-term debt3,750 3,750 
Total current liabilities101,780 151,728 
Non-Current Liabilities
Long-term debt412,895 383,484 
Warrant liabilities587 2,053 
Deferred tax liabilities, net33,883 35,090 
Operating lease liabilities, less current portion20,437 22,575 
Other liabilities14,003 13,778 
Total Liabilities583,585 608,708 
Commitments and Contingencies (Note 8)
— — 
Stockholders’ Equity
Preferred shares, $0.0001 par value; 1,000,000 shares authorized; none issued and outstanding at March 31, 2022 and December 31, 2021
— — 
Common stock, $0.0001 par value; 220,000,000 shares authorized; 41,677,664 and 38,871,646 shares issued and outstanding at March 31, 2022 and December 31, 2021, respectively
4 4 
Additional paid-in capital356,220 330,616 
Accumulated deficit(23,710)(26,436)
Accumulated other comprehensive income7,460 9,687 
Total stockholders’ equity339,974 313,871 
Total Liabilities and Stockholders’ Equity$923,559 $922,579 
See Notes to Unaudited Consolidated Financial Statements

5
TABLE OF CONTENTS
Whole Earth Brands, Inc.
Condensed Consolidated Statements of Operations
(In thousands of dollars, except for share and per share data)
(Unaudited)
Three Months Ended
March 31, 2022March 31, 2021
Product revenues, net$130,592 $105,825 
Cost of goods sold91,034 70,174 
Gross profit39,558 35,651 
Selling, general and administrative expenses27,788 32,907 
Amortization of intangible assets4,705 4,151 
Restructuring and other expenses— 1,657 
Operating income (loss)7,065 (3,064)
Change in fair value of warrant liabilities861 (2,362)
Interest expense, net(6,032)(5,078)
Loss on extinguishment and debt transaction costs— (5,513)
Other income, net1,956 310 
Income (loss) before income taxes3,850 (15,707)
Provision (benefit) for income taxes1,124 (3,682)
Net income (loss)$2,726 $(12,025)
Net earnings (loss) per share:
Basic$0.07 $(0.31)
Diluted$0.07 $(0.31)

See Notes to Unaudited Consolidated Financial Statements

6
TABLE OF CONTENTS
Whole Earth Brands, Inc.
Condensed Consolidated Statements of Comprehensive Income (Loss)
(In thousands of dollars)
(Unaudited)
Three Months Ended
March 31, 2022March 31, 2021
Net income (loss)$2,726 $(12,025)
Other comprehensive income (loss), net of tax:
Net change in pension benefit obligations recognized, net of taxes of $(71) and $0, respectively
(224)9 
Foreign currency translation adjustments(2,003)(2,047)
Total other comprehensive income (loss), net of tax(2,227)(2,038)
Comprehensive income (loss)$499 $(14,063)
See Notes to Unaudited Consolidated Financial Statements

7
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Whole Earth Brands, Inc.
Condensed Consolidated Statements of Equity
(In thousands of dollars)
(Unaudited)
Common StockAdditional
Paid-in		AccumulatedAccumulated
Other
Comprehensive		Total
Stockholders’
SharesAmountCapitalDeficitIncomeEquity
Balance at December 31, 202038,426,669 $4 $325,679 $(25,442)$8,605 $308,846 
Reclassification of Private Warrants (Note 1)— — (7,062)(1,077)— (8,139)
Transfer of Private Warrants to Public Warrants— — 2,502 — — 2,502 
Net loss— — — (12,025)— (12,025)
Other comprehensive loss, net of tax— — — — (2,038)(2,038)
Stock-based compensation— — 1,639 — — 1,639 
Balance at March 31, 202138,426,669 $4 $322,758 $(38,544)$6,567 $290,785 
Common StockAdditional
Paid-in		AccumulatedAccumulated
Other
Comprehensive		Total
Stockholders’
SharesAmountCapitalDeficitIncomeEquity
Balance at December 31, 202138,871,646 $4 $330,616 $(26,436)$9,687 $313,871 
Transfer of Private Warrants to Public Warrants— — 605 — — 605 
Net income— — — 2,726 — 2,726 
Other comprehensive loss, net of tax— — — — (2,227)(2,227)
Stock-based compensation— — 1,354 — — 1,354 
Net share settlements of stock-based awards146,444 — (291)— — (291)
Shares issued for payment of contingent consideration2,659,574 — 23,936 — — 23,936 
Balance at March 31, 202241,677,664 $4 $356,220 $(23,710)$7,460 $339,974 


See Notes to Unaudited Consolidated Financial Statements

8
TABLE OF CONTENTS
Whole Earth Brands, Inc.
Condensed Consolidated Statements of Cash Flows
(In thousands of dollars)
(Unaudited)
Three Months Ended
March 31, 2022March 31, 2021
Operating activities
Net income (loss) $2,726 $(12,025)
Adjustments to reconcile net income (loss) to net cash provided by operating activities:
Stock-based compensation1,650 1,639 
Depreciation1,460 969 
Amortization of intangible assets4,705 4,151 
Deferred income taxes(905)3,402 
Amortization of inventory fair value adjustments(1,599)1,619 
Non-cash loss on extinguishment of debt— 4,435 
Change in fair value of warrant liabilities(861)2,362 
Changes in current assets and liabilities:
Accounts receivable(3,821)(1,341)
Inventories(878)(4,903)
Prepaid expenses and other current assets(842)665 
Accounts payable, accrued liabilities and income taxes4,833 (7,052)
Other, net(2,022)482 
Net cash provided by (used in) operating activities4,446 (5,597)
Investing activities
Capital expenditures(3,276)(1,544)
Acquisitions, net of cash acquired— (186,601)
Proceeds from the sale of fixed assets50 — 
Net cash used in investing activities(3,226)(188,145)
Financing activities
Proceeds from revolving credit facility30,000 25,000 
Repayments of revolving credit facility— (47,855)
Long-term borrowings— 375,000 
Repayments of long-term borrowings(938)(136,500)
Debt issuance costs— (11,589)
Payment of contingent consideration(29,108)— 
Tax withholdings related to net share settlements of stock-based awards(291)— 
Net cash (used in) provided by financing activities(337)204,056 
Effect of exchange rate changes on cash and cash equivalents186 594 
Net change in cash and cash equivalents1,069 10,908 
Cash and cash equivalents, beginning of period28,296 16,898 
Cash and cash equivalents, end of period$29,365 $27,806 
Supplemental disclosure of cash flow information
Interest paid$5,567 $4,491 
Taxes paid, net of refunds$993 $3,535 

See Notes to Unaudited Consolidated Financial Statements

9
TABLE OF CONTENTS
Whole Earth Brands, Inc.
Notes to Condensed Consolidated Financial Statements
(Unaudited)

NOTE 1: BASIS OF PRESENTATION AND SIGNIFICANT ACCOUNTING POLICIES
Whole Earth Brands, Inc. and its consolidated subsidiaries (“Whole Earth Brands” or the “Company”) is a global industry-leading platform, focused on the “better for you” consumer packaged goods (“CPG”) and ingredients space. The Company has a global platform of branded products and ingredients, focused on the consumer transition towards natural alternatives and clean label products.
On June 24, 2020, Act II Global Acquisition Corp., a Cayman Islands exempted company (“Act II”), domesticated into a Delaware corporation (the “Domestication”), and on June 25, 2020 (the “Closing”), consummated the indirect acquisition (the “Business Combination”) of (i) all of the issued and outstanding equity interests of Merisant Company (“Merisant”), Merisant Luxembourg Sarl (“Merisant Luxembourg”), Mafco Worldwide LLC (“Mafco Worldwide”), Mafco Shanghai LLC (“Mafco Shanghai”), EVD Holdings LLC (“EVD Holdings”), and Mafco Deutschland GmbH (together with Merisant, Merisant Luxembourg, Mafco Worldwide, Mafco Shanghai, and EVD Holdings, and their respective direct and indirect subsidiaries, “Merisant and Mafco Worldwide”), and (ii) certain assets and liabilities of Merisant and Mafco Worldwide included in the Transferred Assets and Liabilities (as defined in the Purchase Agreement (as hereafter defined)), from Flavors Holdings Inc. (“Flavors Holdings”), MW Holdings I LLC (“MW Holdings I”), MW Holdings III LLC (“MW Holdings III”), and Mafco Foreign Holdings, Inc. (“Mafco Foreign Holdings,” and together with Flavors Holdings, MW Holdings I, and MW Holdings III, the “Sellers”), pursuant to that certain Purchase Agreement (the “Purchase Agreement”) entered into by and among Act II and the Sellers dated as of December 19, 2019, as amended. In connection with the Domestication, Act II changed its name to “Whole Earth Brands, Inc.”
Upon the completion of the Domestication, each of Act II’s then-issued and outstanding ordinary shares converted, on a one-for-one basis, into shares of common stock of Whole Earth Brands. In conjunction with the Business Combination, the Company issued an aggregate of 7,500,000 shares of Whole Earth Brands common stock and 5,263,500 private placement warrants (the “Private Warrants”) exercisable for 2,631,750 shares of Whole Earth Brands common stock to certain investors. On the date of Closing, the Company’s common stock and warrants began trading on The Nasdaq Stock Market under the symbols “FREE” and “FREEW,” respectively.
As a result of the Business Combination, for accounting purposes, Act II was deemed to be the acquirer and Mafco Worldwide and Merisant Company were deemed to be the acquired parties.
Basis of Presentation—The accompanying unaudited condensed consolidated interim financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America (“U.S. GAAP”) for interim financial reporting. The balance sheet data as of December 31, 2021 was derived from the audited consolidated financial statements. These unaudited condensed consolidated interim financial statements should be read in conjunction with the Company’s audited consolidated and combined financial statements for the year ended December 31, 2021 included in the Company’s Annual Report on Form 10-K.
In the opinion of management, the financial statements contain all adjustments necessary to state fairly the financial position of the Company as of March 31, 2022 and the results of operations and cash flows for all periods presented. All adjustments in the accompanying unaudited condensed consolidated financial statements, which management believes are necessary to state fairly the financial position, results of operations and cash flows, have been reflected and are of a normal recurring nature. Results of operations for interim periods are not necessarily indicative of results to be expected for the full year. Certain prior year amounts have been reclassified to conform to the current year presentation.
Principles of Consolidation—The condensed consolidated financial statements include the accounts of Whole Earth Brands, Inc., and its indirect and wholly owned subsidiaries. All significant intercompany accounts and transactions have been eliminated in consolidation.
Use of Estimates—The preparation of financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the amounts reported in the unaudited condensed consolidated financial statements and accompanying notes. Actual results could differ from these estimates.

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Whole Earth Brands, Inc.
Notes to Condensed Consolidated Financial Statements
(Unaudited)    


Recently Adopted Accounting Pronouncements—The Company qualifies as an emerging growth company (an “EGC”) and as such, has elected the extended transition period for complying with certain new or revised accounting pronouncements. During the extended transition period, the Company is not subject to certain new or revised accounting standards applicable to public companies. The accounting pronouncements pending adoption below reflect effective dates for the Company as an EGC with the extended transition period.
In December 2019, the FASB issued ASU 2019-12, “Income Taxes (Accounting Standards Codification “ASC” 740) - Simplifying the Accounting for Income Taxes.” The standard enhances and simplifies various aspects of the income tax accounting guidance. For public entities, the standard is effective for annual periods and interim periods beginning after December 15, 2020. This standard is effective for the Company as an EGC for the fiscal years beginning after December 15, 2021. Early adoption is permitted. The Company adopted this standard on January 1, 2022. The adoption of this standard did not have a material impact on the Company’s consolidated financial statements and related disclosures.
Accounting Standards Not Yet Adopted—In March 2020, the FASB issued ASU 2020-4, “Reference Rate Reform (Topic 848): Facilitation of the Effects of Reference Rate Reform on Financial Reporting.” Subject to meeting certain criteria, the new guidance provides optional expedients and exceptions to applying contract modification accounting under existing U.S. GAAP, to address the expected phase out of the London Inter-bank Offered Rate (“LIBOR”) by the end of 2021. The amendments in ASU 2020-4 apply only to contracts, hedging relationships, and other transactions that reference LIBOR or another reference rate expected to be discontinued because of reference rate reform. The new standard was effective upon issuance and upon adoption can be applied prospectively to applicable contract modifications made on or before December 31, 2022. The Company is currently evaluating the impact of adopting this standard but does not expect it to have a material impact on its consolidated financial statements.
In June 2016, the FASB issued ASU 2016-13, “Financial Instruments - Credit Losses (Topic 326).” The standard requires entities to estimate losses on financial assets measured at amortized cost, including trade receivables, debt securities and loans, using an expected credit loss model. The expected credit loss differs from the previous incurred losses model primarily in that the loss recognition threshold of “probable” has been eliminated and that expected loss should consider reasonable and supportable forecasts in addition to the previously considered past events and current conditions. Additionally, the guidance requires additional disclosures related to the further disaggregation of information related to the credit quality of financial assets by year of the asset’s origination for as many as five years. Entities must apply the standard provision as a cumulative-effect adjustment to retained earnings as of the beginning of the first reporting period in which the guidance is effective. This standard is effective for the Company as an EGC for fiscal years beginning after December 15, 2022 including interim periods within those fiscal years. The Company is currently evaluating the impact of adopting ASU 2016-13 on its consolidated financial statements.
Restructuring and Employee Termination Benefits—During 2020, the Company adopted restructuring plans to streamline processes and realize cost savings by consolidating facilities and eliminating various positions in operations and general and administrative areas.
In connection with the restructuring plans, the Company recognized restructuring and other expenses of $1.7 million for the three months ended March 31, 2021, primarily consisting of facility exit and other related costs. During the three months ended March 31, 2022, the Company paid employee termination benefits of $0.1 million. The Company had accrued severance expense related to the restructuring plans of $0.7 million and $0.8 million at March 31, 2022 and December 31, 2021, respectively, which is recorded in accrued expenses and other current liabilities in the unaudited condensed consolidated balance sheets.
Warrant Liabilities—The Company accounts for the Private Warrants in accordance with ASC Topic 815, “Derivatives and Hedging.” Under the guidance contained in ASC Topic 815-40, the Private Warrants do not meet the criteria for equity treatment and must be recorded as liabilities. Accordingly, the Company classifies the Private Warrants as liabilities at their fair value and adjusts the warrants to fair value at each reporting period. The liability is subject to re-measurement at each balance sheet date, and any change in fair value is recognized in the Company’s statement of operations. The Private Warrants are valued using a Black-Scholes option pricing model.

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Whole Earth Brands, Inc.
Notes to Condensed Consolidated Financial Statements
(Unaudited)    


Based on the views expressed in the SEC’s Staff Statement of April 12, 2021 in which the SEC staff clarified its interpretations of certain generally accepted accounting principles related to certain terms common in warrants issued by Special Purpose Acquisition Companies (“SPACs”), the Company determined that the Private Warrants should be treated as derivative liabilities rather than as components of equity, as previously presented as of December 31, 2020. Accordingly, the Company recorded out of period adjustments to the unaudited Condensed Consolidated Balance Sheet at January 1, 2021 to reclassify warrant liabilities of $8.1 million and transaction costs incurred by Act II of $1.1 million related to the issuance of the Private Warrants. Additionally, during the first quarter of 2021, the Company recognized the cumulative effect of the error on prior periods by recording a $1.2 million gain in the Statement of Operations to reflect the cumulative decrease in the fair value of the Private Warrants from the date of issuance through December 31, 2020. The Company concluded that this misstatement was not material to the current period or the previously filed financial statements.
NOTE 2: BUSINESS COMBINATIONS
Wholesome Acquisition—On December 17, 2020, the Company entered into a stock purchase agreement (the “Wholesome Purchase Agreement”) with WSO Investments, Inc. (“WSO Investments” and together with its subsidiaries, “Wholesome” and affiliates). WSO Investments is the direct parent of its wholly-owned subsidiary Wholesome Sweeteners, Incorporated, which was formed to import, market, distribute, and sell organic sugars, unrefined specialty sugars, and related products. Wholesome is included within the Company’s Branded CPG reportable segment. Wholesome’s results are included in the Company’s consolidated statement of operations from the date of acquisition.
On February 5, 2021, pursuant to the terms of the Wholesome Purchase Agreement, the Company purchased and acquired all of the issued and outstanding shares of capital stock for an initial cash purchase price of $180 million plus up to an additional $55 million (the “Earn-Out Amount”) upon the satisfaction of certain post-closing financial metrics. Subject to the terms and conditions of the Wholesome Purchase Agreement payment of the Earn-Out Amount, in whole or in part, was subject to Wholesome achieving certain EBITDA thresholds at or above approximately $30 million during the period beginning August 29, 2020, and ending December 31, 2021 (the “Earn-Out Period”). A portion of the Earn-Out Amount (up to $27.5 million) could be paid, at the Company’s election, in freely tradeable, registered shares of Company common stock calculated using the 20-day volume weighted average trading price per share as of the date of determination. Calculation of the achievement of the Earn-Out Amount was subject to certain adjustments more thoroughly described in the Wholesome Purchase Agreement. In connection with the acquisition of Wholesome, the Company incurred transaction-related costs of $0.2 million and $4.4 million in the three months ended March 31, 2022 and 2021, respectively.
Following the completion of the Earn-Out Period, the Company determined, in accordance with the terms of the Purchase Agreement, that the sellers were entitled to receive the Earn-Out Amount in full. The Company elected to satisfy part of the Earn-Out Amount in common stock and on February 23, 2022, issued 2,659,574 shares of the Company’s common stock. The remaining $30 million portion of the $55 million Earn-Out Amount was paid in cash which was funded from available capacity under the Company’s revolving credit facility. The settlement of the earn-out resulted in a non-cash gain of $1.1 million that was recorded in the first quarter of 2022 which represents the difference in the value of the common stock issued using the 20-day volume weighted average trading price per share as compared to the trading price on the date of issuance.
The following summarizes the purchase consideration (in thousands):
Base cash consideration$180,000 
Closing adjustment13,863 
Fair value of Earn-Out Amount52,395 
Total Purchase Price$246,258 
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Notes to Condensed Consolidated Financial Statements
(Unaudited)    


The Company recorded the fair value of the purchase price to tangible and identifiable intangible assets acquired and liabilities assumed as follows (in thousands):
Cash and cash equivalents$2,664 
Accounts receivable15,868 
Inventories76,879 
Prepaid expenses and other current assets1,322 
Property, plant and equipment, net3,134 
Operating lease right-of-use assets7,585 
Intangible assets104,500 
Other assets1,189 
Total assets acquired213,141 
Accounts payable5,251 
Accrued expenses and other current liabilities10,576 
Current portion of operating lease liabilities1,435 
Operating lease liabilities, less current portion6,150 
Deferred tax liabilities, net24,234 
Total liabilities assumed47,646 
Net assets acquired165,495 
Goodwill80,763 
Total Purchase Price$246,258 
The values allocated to identifiable intangible assets and their estimated useful lives are as follows:
Identifiable intangible assets
Fair Value
(in thousands)
Useful Life
(in years)
Customer relationships$55,700 10
Tradenames48,800 25
$104,500 
Goodwill represents the excess of the purchase price over the estimated fair value assigned to tangible and identifiable intangible assets acquired and liabilities assumed and represents the future economic benefits expected to arise from other intangible assets acquired that do not qualify for separate recognition, including assembled workforce and expected future market opportunities. Of the purchase price allocated to goodwill, a total of $4.7 million will be deductible for income tax purposes pursuant to IRC Section 197 over a 9-year period.
The Company’s allocation of purchase price was based upon valuations performed to determine the fair value of the net assets as of the acquisition date and was subject to adjustments for up to one year after the closing date of the acquisition to reflect final valuations. The allocation of purchase price was finalized in the first quarter of 2022.
In 2021, the Company recorded measurement period adjustments to its initial allocation of purchase price as a result of ongoing valuation procedures on assets and liabilities assumed, including (i) an increase in purchase price of $3.6 million due to the finalization of the closing adjustment; (ii) a decrease to inventory of $1.8 million; (iii) an increase in prepaid expenses and other current assets of $0.5 million; (iv) an increase in property, plant and equipment of $0.4 million; (v) a decrease to intangible assets of $1.9 million; (vi) a decrease to other assets of $0.1 million; (vii) a decrease to accrued expenses and other current liabilities of $2.7 million; (viii) a decrease to deferred tax liabilities, net of $2.8 million; and (ix) an increase to goodwill of $1.0 million due to the incremental measurement period adjustments discussed in items (i) through (viii). The impact of measurement period adjustments to the results of operations was immaterial.

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Whole Earth Brands, Inc.
Notes to Condensed Consolidated Financial Statements
(Unaudited)    


The results of the Company’s operations for the three months ended March 31, 2021 includes the results of Wholesome since February 5, 2021. Product revenues, net and operating income of Wholesome included in the Company’s condensed consolidated statement of operations for the three months ended March 31, 2021 was $27.7 million and $1.7 million, respectively.
Pro Forma Financial Information—The following unaudited pro forma financial information summarizes the results of operations of the Company for the three months ended March 31, 2021 as though the Wholesome acquisition had occurred on January 1, 2020 (in thousands):
Pro Forma Statement of Operations
Three Months Ended
March 31, 2021
Revenue$126,205 
Net loss$(3,862)
The unaudited pro forma financial information does not assume any impacts from revenue, cost or other operating synergies that could be generated as a result of the acquisition. The unaudited pro forma financial information is for informational purposes only and is not indicative of the results of operations that would have been achieved had the Wholesome acquisition been consummated on January 1, 2020.
The pro forma financial information for the three months ended March 31, 2021 includes adjustments to reflect intangible asset amortization based on the economic values derived from definite-lived intangible assets, interest expense on the new debt financing, and the release of the inventory fair value adjustments into cost of goods sold. These adjustments are net of taxes. The results of the Company’s operations for the three months ended March 31, 2022 includes Wholesome for the entire period and therefore pro forma financial information is not required.
NOTE 3: INVENTORIES
Inventories consisted of the following (in thousands):
March 31, 2022December 31, 2021
Raw materials and supplies$134,961 $129,712 
Work in process2,145 1,480 
Finished goods77,952 81,738 
Total inventories$215,058 $212,930 
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Whole Earth Brands, Inc.
Notes to Condensed Consolidated Financial Statements
(Unaudited)    


NOTE 4: GOODWILL AND OTHER INTANGIBLE ASSETS
Goodwill and other intangible assets consisted of the following (in thousands):
March 31, 2022
December 31, 2021
Gross
Amount		Accumulated
Amortization		Net
Amount		Gross
Amount		Accumulated
Amortization		Net
Amount
Other intangible assets subject to amortization
Customer relationships (useful life of 5 to 10 years)
$105,930 $(17,435)$88,495 $106,013 $(14,478)$91,535 
Tradenames (useful life of 25 years)
172,900 (10,503)162,397 173,522 (8,818)164,704 
Total$278,830 $(27,938)250,892 $279,535 $(23,296)256,239 
Other intangible assets not subject to amortization
Product formulations10,700 10,700 
Total other intangible assets, net261,592 266,939 
Goodwill241,535 242,661 
Total goodwill and other intangible assets$503,127 $509,600 
At March 31, 2022 and December 31, 2021, goodwill at Branded CPG was $237.7 million and $238.9 million, respectively. Goodwill at Flavors & Ingredients was $3.8 million at both March 31, 2022 and December 31, 2021.
The amortization expense for intangible assets was $4.7 million and $4.2 million for the three months ended March 31, 2022 and 2021, respectively.
Amortization expense relating to amortizable intangible assets as of March 31, 2022 for the next five years is expected to be as follows (in thousands):
Remainder of 2022$14,041 
202318,721 
202418,721 
202518,488 
202618,267 
202717,040 
NOTE 5: DEBT
Debt consisted of the following (in thousands):
March 31, 2022December 31, 2021
Term loan, due 2028$371,250 $372,187 
Revolving credit facility, due 202655,000 25,000 
Less: current portion(3,750)(3,750)
Less: unamortized discount and debt issuance costs(9,605)(9,953)
Total long-term debt$412,895 $383,484 
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Whole Earth Brands, Inc.
Notes to Condensed Consolidated Financial Statements
(Unaudited)    


At both March 31, 2022 and December 31, 2021, the Company’s senior secured loan agreement consisted of a senior secured term loan facility (the “Term Loan Facility”) of $375 million and a revolving credit facility of up to $75 million (the “Revolving Facility,” and together with the Term Loan Facility, the “Credit Facilities”). At both March 31, 2022 and December 31, 2021, there were $2.1 million of outstanding letters of credit that reduced the Company’s availability under the revolving credit facility. The Company’s unamortized discounts and debt issuance costs related to the Term Loan Facility were $9.6 million and $10.0 million at March 31, 2022 and December 31, 2021, respectively. The unamortized debt issuance costs related to the Revolving Facility were $1.7 million and $1.8 million at March 31, 2022 and December 31, 2021, respectively, and are included in other assets in the condensed consolidated balance sheet. See Note 7 to the Company’s consolidated and combined financial statements in its Annual Report on Form 10-K for the year ended December 31, 2021 for further information and significant terms and conditions associated with the Term Loan Facility and Revolving Facility.
In connection with the closing of the Wholesome Transaction, on February 5, 2021, the Company and certain of its subsidiaries entered into an amendment and restatement agreement (the “Amended and Restated Agreement”) which amended and restated its then existing senior secured loan agreement dated as of June 25, 2020. As of the date of the amendment of the credit facilities, the aggregate unamortized debt issuance costs totaled $6.2 million, of which $4.4 million was expensed as a loss on extinguishment of debt in the first quarter of 2021. Additionally, in connection with the Amended and Restated Credit Agreement, the Company paid fees to certain lenders of $3.8 million, which was considered a debt discount, all of which was deferred, and incurred transaction costs of $8.9 million, of which $7.8 million was deferred and $1.1 million was expensed as part of loss on extinguishment and debt transaction costs in the first quarter of 2021.
As further described in Note 2, following the completion of the Wholesome Earn-Out Period, the Company determined, in accordance with the terms of the Purchase Agreement, that the sellers were entitled to receive the Earn-Out Amount in full. The Company elected to satisfy part of the Earn-Out Amount in common stock and on February 23, 2022, issued 2,659,574 shares of the Company’s common stock. The remaining $30 million portion of the $55 million Earn-Out Amount was paid in cash which was funded from available capacity under the Company’s revolving credit facility.
NOTE 6: WARRANTS
As of the date of the Business Combination, the Company had approximately 20,263,500 warrants outstanding, consisting of (i) 15,000,000 public warrants originally sold as part of the units issued in Act II’s initial public offering (the “Public Warrants”) and (ii) 5,263,500 Private Warrants that were sold by Act II to the PIPE Investors in conjunction with the Business Combination (collectively with the Public Warrants, the “Warrants”). Each warrant is exercisable for one-half of one share of the Company’s common stock at a price of $11.50 per whole share, subject to adjustment. Warrants may only be exercised for a whole number of shares as no fractional shares will be issued. As of March 31, 2022 and December 31, 2021, the Company had 19,491,320 and 18,929,880 Public Warrants outstanding, respectively, and 771,980 and 1,333,420 Private Warrants outstanding, respectively.
There were no Warrants exercised for shares of the Company’s common stock in the three months ended March 31, 2022 and 2021.
NOTE 7: FAIR VALUE OF FINANCIAL INSTRUMENTS
The Company measures and records in its consolidated financial statements certain assets and liabilities at fair value. ASC Topic 820 “Fair Value Measurement and Disclosures,” establishes a fair value hierarchy for instruments measured at fair value that distinguishes between assumptions based on market data (observable inputs) and the Company’s own assumptions (unobservable inputs). This hierarchy consists of the following three levels:
•Level 1 – Assets and liabilities whose values are based on unadjusted quoted prices for identical assets or liabilities in an active market.
•Level 2 – Assets and liabilities whose values are based on inputs other than those included in Level 1, including quoted market prices in markets that are not active; quoted prices of assets or liabilities with similar attributes in active markets; or valuation models whose inputs are observable or unobservable but corroborated by market data.
•Level 3 – Assets and liabilities whose values are based on valuation models or pricing techniques that utilize unobservable inputs that are significant to the overall fair value measurement.
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Notes to Condensed Consolidated Financial Statements
(Unaudited)    


Certain assets are measured at fair value on a nonrecurring basis; that is, the instruments are not measured at fair value on an ongoing basis but are subject to fair value adjustments in certain circumstances (for example, when there is evidence of impairment).
Current Assets and Other Financial Assets and Liabilities—Cash and cash equivalents, trade accounts receivable and trade accounts payable are measured at carrying value, which approximates fair value because of the short-term maturities of these instruments.
Contingent Consideration Payable—The Company measured the contingent consideration payable at fair value. The fair value of the contingent consideration utilized Level 3 inputs as it is based on significant inputs not observable in the market as of December 31, 2021, such as projected financial information and discount rate.
Debt—The Company measures its term loan and revolving facilities at original carrying value including accrued interest, net of unamortized deferred financing costs and fees. The fair value of the credit facilities approximates carrying value, as they consist of variable rate loans.
Warrant Liabilities—The Company classifies its Private Warrants as liabilities in accordance with ASC Topic 815. The Company estimates the fair value of the Private Warrants using a Black-Scholes options pricing model. The fair value of the Private Warrants utilized Level 3 inputs as it is based on significant inputs not observable in the market as of March 31, 2022 and December 31, 2021.
The fair value of the Private Warrants was estimated at March 31, 2022 and December 31, 2021 using a Black-Scholes options pricing model and the following assumptions:
InputMarch 31, 2022December 31, 2021
Asset price$7.16$10.74
Exercise price$11.50$11.50
Risk-free interest rate2.45%1.04%
Expected volatility48.0%41.0%
Expected term (years)3.243.49
Dividend yield0.0%0.0%
The fair value of warrant liabilities as of March 31, 2022 was $0.6 million. The changes in the warrant liabilities during the three months ended March 31, 2022 were as follows (in thousands):
Fair value of warrant liabilities as of December 31, 2021$2,053 
Transfer of Private Warrants to Public Warrants(605)
Change in fair value of warrant liabilities in Q1 2022(861)
Fair value of warrant liabilities as of March 31, 2022$587 
NOTE 8: COMMITMENTS AND CONTINGENCIES
The Company is subject to various claims, pending and possible legal actions for product liability and other damages, and other matters arising out of the conduct of the business. The Company believes, based on current knowledge and consultation with counsel, that the outcome of such claims and actions will not have a material adverse effect on the Company’s condensed consolidated financial position or results of operations.
NOTE 9: INCOME TAXES
The Company’s provision for income taxes consists of U.S., state and local, and foreign taxes. The Company has significant operations in various locations outside the U.S. The annual effective tax rate is a composite rate reflecting the earnings in the various locations at their applicable statutory tax rates.
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Notes to Condensed Consolidated Financial Statements
(Unaudited)    


The Company’s income tax provision was $1.1 million for the three months ended March 31, 2022. The effective tax rate for the three months ended March 31, 2022 was an income tax provision of 29.2% on pre-tax income of $3.9 million which differs from the statutory federal rate of 21% primarily due to state and local taxes, non-deductible permanent differences, limited benefit on current year interest deductions and losses in certain jurisdictions, the change in the fair value of warrant liabilities, foreign income at different rates and the U.S. tax effect of international operations including Global Intangible Low-Taxed Income (“GILTI”) recorded during the period.
The Company’s income tax benefit was $3.7 million for the three months ended March 31, 2021. The effective tax rate for the three months ended March 31, 2021 was an income tax benefit of 23.4% on a pre-tax loss of $15.7 million. The effective tax rate differs from the statutory federal rate of 21% primarily due to certain non-deductible expenses including transaction costs, the change in the fair value of warrant liabilities, stock-based compensation expense and the U.S. tax effect of international operations including GILTI recorded during the period.
At both March 31, 2022 and December 31, 2021, the Company had an uncertain tax position liability of $0.2 million, including interest and penalties. The unrecognized tax benefits include amounts related primarily to various state and foreign tax issues.
NOTE 10: PENSION BENEFITS
Certain current and former employees of the Company are covered under a funded qualified defined benefit retirement plan. Plan provisions covering certain of the Company’s salaried employees generally provide pension benefits based on years of service and compensation. Plan provisions covering certain of the Company’s union members generally provide stated benefits for each year of credited service. The Company’s funding policy is to contribute annually the statutory required amount as actuarially determined. The Company froze the pension plan on December 31, 2019. In addition, the Company has unfunded non-qualified plans covering certain salaried employees with additional retirement benefits in excess of qualified plan limits imposed by federal tax law. The Company uses December 31 as a measurement date for the plans.
In February 2021, the Compensation Committee approved the termination of the Company’s qualified defined benefit retirement plan at Flavors & Ingredients. During the fourth quarter of 2021, the Company offered the option of receiving a lump sum payment to certain participants with vested benefits in lieu of receiving monthly annuity payments. Approximately 125 participants elected to receive the settlement, and lump sum payments of approximately $16.8 million were paid from plan assets to these participants in December 2021. The benefit obligation settled approximated payments to plan participants and a pre-tax settlement gain of $0.5 million was recorded in the fourth quarter of 2021. On February 11, 2022, the Company purchased non-participating annuity contracts to settle the remaining liabilities of the plan for approximately $9.5 million which was fully funded by plan assets. The annuity contracts purchased resulted in a settlement gain of approximately $1.0 million that was recorded in the first quarter of 2022. The remaining surplus of the plan will be used, as prescribed in the applicable regulations, to fund future contributions to the defined contribution plan at Flavors & Ingredients.
The components of net periodic benefit (credit) cost for the Company’s defined benefit pension plans was as follows (in thousands):
Three Months Ended
March 31, 2022March 31, 2021
Service cost$10 $16 
Interest cost127 259 
Expected return on plan assets(53)(399)
Recognized actuarial loss— 9 
Settlement gain(1,017)— 
Net periodic benefit credit$(933)$(115)
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Notes to Condensed Consolidated Financial Statements
(Unaudited)    


Net periodic benefit (credit) cost is reflected in the Company’s condensed consolidated financial statements as follows (in thousands):
Three Months Ended
March 31, 2022March 31, 2021
Selling, general and administrative expense$10 $16 
Other income, net(943)(131)
Net periodic benefit credit$(933)$(115)
The Company currently does not expect to make contributions to its funded defined benefit pension plan in 2022 due to the funded status.
NOTE 11: STOCK-BASED COMPENSATION

On June 24, 2020, the Whole Earth Brands, Inc. 2020 Long-Term Incentive Plan (the “Plan”) was approved for the purpose of promoting the long-term financial interests and growth of the Company and its subsidiaries by attracting and retaining management and other personnel and key service providers. The Plan provides for the granting of stock options (“SOs”), stock appreciation rights (“SARs”), restricted stock awards (“RSAs”), restricted stock units (“RSUs”), performance shares, performance share units (“PSUs”) and other stock-based awards to officers, employees and non-employee directors of, and certain other service providers to, the Company and its subsidiaries. These awards are settled in shares of the Company’s stock and therefore classified as equity awards. Under the terms of the Plan an aggregate of 9,300,000 shares of common stock are authorized for issuance under the Plan.
RSUs generally vest ratably on the anniversary of the grant date over a period of one to three years, depending on the specific terms of each RSU agreement.
PSU awards generally cliff vest subsequent to the completion of a cumulative three-year performance period, depending on the period specified in each respective PSU agreement. The number of PSUs that ultimately vest depends on the Company’s performance relative to specified three-year cumulative financial targets established for each grant and are expected to be settled in stock.
Stock-based compensation expense for the three months ended March 31, 2022 and 2021 was $1.7 million and $1.6 million, respectively. Stock-based compensation expense for the three months ended March 31, 2022 includes $0.3 million of expense related to management bonuses expected to be settled in stock and accounted for as a liability.
A summary of activity and weighted average fair values related to the RSUs is as follows:
Three Months Ended March 31, 2022
SharesWeighted Average Grant Date Fair Value (per share)
Outstanding at December 31, 2021
484,744 $13.46 
Granted564,485 7.42 
Vested(206,368)13.14 
Forfeited(4,075)13.58 
Outstanding and nonvested at March 31, 2022
838,786 $9.45 
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Whole Earth Brands, Inc.
Notes to Condensed Consolidated Financial Statements
(Unaudited)    


A summary of activity and weighted average fair values related to the RSAs is as follows:
Three Months Ended March 31, 2022
SharesWeighted Average Grant Date Fair Value (per share)
Outstanding at December 31, 2021
117,801 $9.76 
Granted— — 
Outstanding and nonvested at March 31, 2022
117,801 $9.76 
A summary of activity and weighted average fair values related to the PSUs is as follows:
Three Months Ended March 31, 2022
SharesWeighted Average Grant Date Fair Value (per share)
Outstanding at December 31, 2021
282,141 $13.65 
Granted527,871 7.24 
Forfeited(1,818)13.65 
Outstanding and nonvested at March 31, 2022
808,194 $9.46 
As of March 31, 2022, the Company had not yet recognized compensation costs on nonvested awards as follows (in thousands):    
Unrecognized Compensation CostWeighted Avg. Remaining Recognition Period (in years)
Nonvested awards$15,331 2.07
NOTE 12: EARNINGS PER SHARE
Basic earnings (loss) per common share is calculated by dividing net income (loss) by the weighted average number of common shares outstanding for the period. Warrants issued are not considered outstanding at the date of issuance. RSUs and RSAs also are not considered outstanding until they have vested. Contingently issuable shares associated with outstanding PSUs that have cliff vesting based on achievement of a performance condition were not included in the basic earnings per share calculations for the periods presented as the applicable vesting conditions had not been satisfied.
Diluted earnings (loss) per share is calculated by dividing net income (loss) by the weighted average shares outstanding assuming dilution. Dilutive common shares outstanding is computed using the treasury stock method and reflects the additional shares that would be outstanding if dilutive warrants were exercised and restricted stock units and restricted stock awards were settled for common shares during the period.
For warrants that are liability-classified, during the periods when the impact would be dilutive, the Company assumes share settlement of the instruments as of the beginning of the reporting period and adjusts the numerator to remove the change in the fair value of warrant liability and adjusts the denominator to include the dilutive shares using the treasury stock method.
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Whole Earth Brands, Inc.
Notes to Condensed Consolidated Financial Statements
(Unaudited)    


The computation of basic and diluted earnings (loss) per common share is shown below (in thousands, except for share and per share data):
Three Months Ended
March 31, 2022March 31, 2021
EPS numerator:
Net income (loss) attributable to common shareholders$2,726 $(12,025)
EPS denominator:
Weighted average shares outstanding - basic40,017,296 38,430,742 
Effect of dilutive securities53,157—
Weighted average shares outstanding - diluted40,070,453 38,430,742 
Net earnings (loss) per share:
Basic$0.07 $(0.31)
Diluted$0.07 $(0.31)
For the three months ended March 31, 2022, 20,263,300 warrants and 839,126 RSUs were excluded from the diluted EPS calculation because they were determined to be anti-dilutive. For the three months ended March 31, 2021, 20,263,500 warrants, 1,152,443 RSUs and 68,946 RSAs were excluded from the diluted EPS calculation because they were determined to be anti-dilutive.
NOTE 13: ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS)
The following table summarizes accumulated other comprehensive income (loss) (“AOCI”), net of taxes, by component (in thousands):
Net Currency Translation Gains (Losses)Funded Status of
Benefit Plans		Total Accumulated Other Comprehensive Income (Loss)
Balance at December 31, 2020
$7,774 $831 $8,605 
Other comprehensive loss before reclassifications(2,047)— (2,047)
Amounts reclassified from AOCI— 9 9 
Balance at March 31, 2021
$5,727 $840 $6,567 
Balance at December 31, 2021
$8,758 $929 $9,687 
Other comprehensive loss before reclassifications(2,003)— (2,003)
Amounts reclassified from AOCI— (224)(224)
Balance at March 31, 2022
$6,755 $705 $7,460 
NOTE 14: RELATED PARTY TRANSACTIONS
In July 2020, the Company entered into an agreement with Watermill Institutional Trading LLC, a registered broker-dealer (“Watermill”), to act as one of the Company’s financial advisors for a 12-month period commencing July 22, 2020 for total consideration of $0.9 million, of which $0.2 million was expensed during the three months ended March 31, 2021. Additionally, the Company incurred expense of $2.0 million during the three months ended March 31, 2021 related to services provided by Watermill in connection with the acquisition of Wholesome. A former director of Act II is a registered representative of Watermill and provided services directly to the Company under the agreement.
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Whole Earth Brands, Inc.
Notes to Condensed Consolidated Financial Statements
(Unaudited)    


In December 2019, Wholesome entered into a partnership agreement to form WS Services, LLC (“WS Services”). As of March 31, 2022, Wholesome had a 50% interest in the partnership and accounts for the partnership as an equity method investment. Wholesome’s investment in the partnership, which is classified as other assets in the condensed consolidated balance sheets, was $0.7 million as of both March 31, 2022 and December 31, 2021. Wholesome utilizes a warehouse leased by WS Services for storage of raw materials. During the three months ended March 31, 2022 and the period from February 5, 2021 through March 31, 2021, Wholesome expensed $0.3 million and $0.1 million, respectively, related to the use of the warehouse space. Wholesome recorded a payable to WS Services for $0.2 million and $0.3 million as of March 31, 2022 and December 31, 2021, respectively.
NOTE 15: BUSINESS SEGMENTS
The Company has two reportable segments: Branded CPG and Flavors & Ingredients. In addition, the Company’s corporate office functions are reported and included under Corporate. Corporate is not a reportable or operating segment but is included for reconciliation purposes and includes the costs for the corporate office administrative activities as well as transaction-related and other costs. The Company does not present assets by reportable segments as they are not reviewed by the Chief Operating Decision Maker for purposes of assessing segment performance and allocating resources.
The following table presents selected financial information relating to the Company’s business segments (in thousands):
Three Months Ended
March 31, 2022March 31, 2021
Product revenues, net
Branded CPG$103,761 $81,797 
Flavors & Ingredients26,831 24,028 
Total product revenues, net$130,592 $105,825 
Operating income (loss)
Branded CPG$6,460 $10,159 
Flavors & Ingredients7,827 972 
14,287 11,131 
Corporate(7,222)(14,195)
Total operating income (loss)$7,065 $(3,064)
The following table presents geographic information based upon revenues of the Company’s major geographic markets (in thousands):
Three Months Ended
March 31, 2022March 31, 2021
Branded CPG:
North America$73,080 $51,970 
Europe18,008 19,414 
India, Middle East and Africa3,579 2,643 
Asia-Pacific6,062 5,226 
Latin America3,032 2,544 
Flavors & Ingredients26,831 24,028 
Total product revenues, net$130,592 $105,825 
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Item 2.         Management’s Discussion and Analysis of Financial Condition and Results of Operations
The following discussion and analysis of financial condition and results of operations should be read together with our consolidated financial statements and related notes included in our Annual Report on Form 10-K for the year ended December 31, 2021 (“Annual Report”) and our unaudited condensed consolidated financial statements and the related notes appearing elsewhere in this Quarterly Report.
Cautionary Note Regarding Forward-Looking Statements
This Quarterly Report on Form 10-Q within the meaning of Section 27A of the Securities Act of 1933, as amended (the “Securities Act”) and Section 21E of the Exchange Act (the “Exchange Act”) concerning us and other matters. These statements may discuss goals, intentions and expectations as to future plans, trends, events, results of operations or financial condition, or otherwise, based on current beliefs of management, as well as assumptions made by, and information currently available to, management.
Forward-looking statements may be accompanied by words such as “achieve,” “aim,” “anticipate,” “believe,” “can,” “continue,” “could,” “drive,” “estimate,” “expect,” “forecast,” “future,” “grow,” “improve,” “increase,” “intend,” “may,” “outlook,” “plan,” “possible,” “potential,” “predict,” “project,” “should,” “target,” “will,” “would,” or similar words, phrases or expressions. These forward-looking statements are subject to risks, uncertainties and other factors, many of which are outside of our control, which could cause actual results to differ materially from the results contemplated by the forward-looking statements. Factors that could cause actual results to differ materially from those in the forward-looking statements include, but are not limited to, our ability to achieve or maintain profitability; the extent of the impact of the COVID-19 pandemic, including the duration, spread, severity, and any recurrence of the COVID-19 pandemic, the duration and scope of related government orders and restrictions, the impact on our employees, and the extent of the impact of the COVID-19 pandemic on overall demand for our products; local, regional, national, and international economic conditions that have deteriorated as a result of the COVID-19 pandemic including the risks of a global recession or a recession in one or more of our key markets, and the impact they may have on us and our customers and management’s assessment of that impact; the projected financial information, anticipated growth rate, and market opportunity of our Branded CPG and Flavors & Ingredients business segments; the ability to maintain the listing of our securities on Nasdaq; the potential liquidity and trading of our public securities; our expected capital requirements and the availability of additional financing; our ability to attract or retain highly qualified personnel, including in accounting and finance roles; extensive and evolving government regulations that impact the way we operate; the effect of the reclassification and treatment of warrants pursuant to ASC Topic 815-40; the impact of the COVID-19 pandemic on our suppliers, including disruptions and inefficiencies in the supply chain; factors relating to the business, operations and financial performance of our Branded CPG and Flavors & Ingredients segments; our success in integrating the various operating companies constituting Merisant and MAFCO; our ability to integrate our acquisitions and achieve the anticipated benefits of the transactions in a timely manner or at all; the ongoing conflict in Ukraine and related economic disruptions and new governmental regulations on our business, including but not limited to the potential impact on our sales, operations and supply chain; adverse changes in the global or regional general business, political and economic conditions, including the impact of continuing uncertainty and instability in certain countries, that could materially affect our global markets and the potential adverse economic impact and related uncertainty caused by these items; our ability to continue to use, maintain, enforce, protect and defend owned and licensed intellectual property, including the Whole Earth® brand; and such other factors as discussed throughout, including in Part I, Item 2. Management’s Discussion and Analysis of Financial Condition and Results of Operations and in Part II, Item 1A. Risk Factors of this Quarterly Report on Form 10-Q.
Although we believe that the expectations reflected in the forward-looking statements are reasonable, our information may be incomplete or limited, and we cannot guarantee future results. Except as required by law, we assume no obligation to update or revise these forward-looking statements for any reason, even if new information becomes available in the future.

Overview
We are a global food company enabling healthier lifestyles and providing access to high-quality, plant-based sweeteners, flavor enhancers and other foods through our diverse portfolio of trusted brands and delicious products. We operate a proven platform organized into two reportable segments.
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•Branded CPG, comprised of our Merisant division of operating companies, Wholesome and Swerve, is a global CPG business focused on building a branded portfolio oriented toward serving customers seeking better-for-you sweeteners across the zero calorie, plant-based, organic, non GMO, and Fair Trade spaces in zero/low calorie sweeteners, honey, agave and baking mix segments. Our Branded CPG products are sold under both our flagship brands, as well as local and private label brands. Our global flagship brands include Whole Earth®, Pure Via®, Wholesome®, Swerve®, Canderel®, Equal® and existing branded adjacencies.
•Flavors & Ingredients, comprised of our Mafco Worldwide division of operating companies, is a global, business-to-business focused operation with a long history as a trusted supplier of essential, functional ingredients to some of the CPG industry’s largest and most demanding customers. Our products provide a variety of solutions for our customers including flavor enhancement, flavor / aftertaste masking, moisturizing, product mouthfeel modification and skin soothing characteristics. Our Flavors & Ingredients segment operates our licorice-derived products business.
Acquisition
On December 17, 2020, we entered into a stock purchase agreement (the “Wholesome Purchase Agreement”) with WSO Investments, Inc. (“WSO Investments” and together with its subsidiaries “Wholesome”), WSO Holdings, LP (“WSO Partnership”), Edwards Billington and Son, Limited (“EBS”), WSO Holdings, LLC (“WSO LLC,” and together with WSO Partnership and EBS, the “WSO Sellers”), and WSO Partnership, in its capacity as representative for the WSO Sellers. WSO Investments is the direct parent of its wholly-owned subsidiary Wholesome Sweeteners, Incorporated, which was formed to import, market, distribute, and sell organic sugars, unrefined specialty sugars, and related products.
On February 5, 2021, pursuant to the terms of the Wholesome Purchase Agreement, (i) we purchased and acquired all of the issued and outstanding shares of capital stock of WSO Investments from the WSO Sellers, for (x) an initial cash purchase price of $180 million (subject to customary post-closing adjustments), plus (y) as more thoroughly described below, up to an additional $55 million (the “Earn-Out Amount”) upon the satisfaction of certain post-closing financial metrics by Wholesome; and (ii) WSO Investments became an indirect wholly-owned subsidiary of the Company (collectively, the “Wholesome Transaction”). Subject to the terms and conditions of the Wholesome Purchase Agreement, and as more thoroughly described therein, payment of the Earn-Out Amount, in whole or in part, was subject to Wholesome achieving certain EBITDA thresholds at or above approximately $30 million during the period beginning August 29, 2020, and ending December 31, 2021. A portion of the Earn-Out Amount (up to $27.5 million) could be paid, at our election, in freely tradeable, registered shares of Company common stock calculated using the 20-day volume weighted average trading price per share as of the date of determination. Calculation of the achievement of the Earn-Out Amount was subject to certain adjustments more thoroughly described in the Wholesome Purchase Agreement.
Following the completion of the Earn-Out Period, we determined, in accordance with the terms of the Purchase Agreement, that the sellers were entitled to receive the Earn-Out Amount in full. We elected to satisfy part of the Earn-Out Amount in common stock and on February 23, 2022, issued 2,659,574 shares of the Company’s common stock. The remaining $30 million portion of the $55 million Earn-Out Amount was paid in cash which was funded from available capacity under our revolving credit facility. The settlement of the earn-out resulted in a non-cash gain of $1.1 million that was recorded in the first quarter of 2022 which represents the difference in the value of the common stock issued using the 20-day volume weighted average trading price per share as compared to the trading price on the date of issuance.
In connection with the closing of the Wholesome Transaction, on February 5, 2021, we and certain of our subsidiaries entered into an amendment and restatement agreement (the “Amendment Agreement”) with Toronto Dominion (Texas) LLC, as administrative agent, and certain lenders signatory thereto, which amended and restated our existing senior secured loan agreement dated as of June 25, 2020 (as amended on September 4, 2020, the “Existing Credit Agreement,” and as further amended by the Amendment Agreement, the “Amended and Restated Credit Agreement”), by and among Toronto Dominion (Texas) LLC, as administrative agent, certain lenders signatory thereto and certain other parties. See Note 7 to our consolidated and combined financial statements in our Annual Report on Form 10-K for the year ended December 31, 2021 for a further description of the Amended and Restated Credit Agreement.
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COVID-19 Impact
The COVID-19 pandemic has caused and continues to cause economic disruption and uncertainty in the U.S. and globally, including in our business. We continue to closely monitor the impacts of the COVID-19 pandemic and remain focused on protecting the health and safety of our employees and maintaining our supply chain and inventory levels to meet customer demand. COVID-19 and its impacts are unprecedented and continue to evolve. The extent of the pandemic’s impact on us will continue to depend upon our employees’ ability to work safely in our facilities, our customers’ ability to continue to operate or receive our products, the ability of our suppliers to continue to operate, and the level of activity and demand for the ultimate product and services of our customers or their customers.
Inflation and Supply Chain Impact
During the three months ended March 31, 2022, we have continued to experience inflationary cost increases in raw materials and transportation costs, as well as supply chain challenges. We expect to continue to see these cost pressures and supply chain challenges through the remainder of 2022. These cost increases have resulted in and could continue to result in negative impacts to our results of operations. However, we have taken measures to mitigate the impact of these inflationary pressures by implementing pricing actions during the first quarter of 2022.
There continues to be an increasingly competitive labor market at certain of our manufacturing facilities. This has resulted in increased employee turnover and changes in the availability of our workers, including as a result of COVID-19 related absences, which has resulted in and could continue to result in increased costs and could negatively impact our ability to meet customer demand. However, we expect we will be able to deliver products to fulfill customer orders on a timely basis and we intend to continue to monitor customer demand along with our supply chain and logistics capabilities to drive our business and meet our obligations.
Results of Operations
Consolidated
Three Months Ended
(In thousands)March 31, 2022March 31, 2021Change
Product revenues, net$130,592 $105,825 +23.4 %
Cost of goods sold91,034 70,174 +29.7 %
Gross profit39,558 35,651 +11.0 %
Selling, general and administrative expenses27,788 32,907 -15.6 %
Amortization of intangible assets4,705 4,151 +13.3 %
Restructuring and other expenses— 1,657 *
Operating income (loss)7,065 (3,064)*
Change in fair value of warrant liabilities861 (2,362)*
Interest expense, net(6,032)(5,078)+18.8 %
Loss on extinguishment and debt transaction costs— (5,513)*
Other income, net1,956 310 *
Income (loss) before income taxes3,850 (15,707)*
Provision (benefit) for income taxes1,124 (3,682)*
Net income (loss)$2,726 $(12,025)*
* Represents positive or negative change equal to, or in excess of 100%
Three Months Ended March 31, 2022 Compared to Three Months Ended March 31, 2021
Product revenues, net. Product revenues, net for the three months ended March 31, 2022 were $130.6 million, an increase of $24.8 million, or 23.4%, from $105.8 million for the three months ended March 31, 2021 due to a $22.0 million
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increase in product revenues in the Branded CPG segment and a $2.8 million increase in product revenues at Flavors & Ingredients. The increase in Branded CPG revenues was driven by a full quarter of Wholesome, which was acquired on February 5, 2021, partially offset by organic Branded CPG declines and unfavorable impacts from foreign exchange.
Cost of goods sold. Cost of goods sold for the three months ended March 31, 2022 was $91.0 million, an increase of $20.9 million, or 29.7%, from $70.2 million for the three months ended March 31, 2021. The increase was primarily due to a $19.8 million increase as a result of a full quarter of Wholesome (acquired on February 5, 2021), as well as costs associated with new production operations and higher volumes at Flavors & Ingredients, partially offset by a $3.2 million favorable change in the amortization of purchase accounting adjustments related to inventory revaluations (benefit of $1.6 million in the first quarter of 2022 compared to expense of $1.6 million in the first quarter of 2021).
Selling, general and administrative expenses. Selling, general and administrative expenses for the three months ended March 31, 2022 were $27.8 million, a decrease of $5.1 million, or 15.6%, from $32.9 million for the three months ended March 31, 2021 primarily due to a $7.4 million decline in acquisition related transaction expenses, partially offset by a $1.3 million increase in costs driven by a full quarter of Wholesome, and higher bonus expense.
Amortization of intangible assets. Amortization of intangible assets for the three months ended March 31, 2022 was $4.7 million, an increase of $0.6 million, or 13.3%, from $4.2 million for the three months ended March 31, 2021 primarily due to higher amortization expense related to the intangible assets acquired as part of the Wholesome acquisition on February 5, 2021.
Change in fair value of warrant liabilities. Change in fair value of warrant liabilities for the three months ended March 31, 2022 was a non-operating gain of $0.9 million, an increase of $3.2 million, from a non-operating loss of $2.4 million for the three months ended March 31, 2021.
Interest expense, net. Interest expense, net for the three months ended March 31, 2022 was $6.0 million, an increase of $1.0 million, or 18.8%, from $5.1 million for the three months ended March 31, 2021. The increase was primarily due to higher debt levels under our credit facilities beginning February 5, 2021 and the amortization of debt issuance costs.
Other income, net. Other income, net for the three months ended March 31, 2022 was $2.0 million compared to $0.3 million for the three months ended March 31, 2021. The increase was primarily due to a $1.0 million non-cash settlement gain related to the termination of our qualified defined benefit pension plan at Flavors & Ingredients and a $1.1 million non-cash gain related to the settlement of the Wholesome acquisition earn-out as further described above.
Provision (benefit) for income taxes. The provision for income taxes for the three months ended March 31, 2022 was $1.1 million. The benefit for income taxes for the three months ended March 31, 2021 was $3.7 million. The effective tax rate for the three months ended March 31, 2022 was an income tax provision of 29.2%, compared to an income tax benefit of 23.4% for the three months ended March 31, 2021. The effective tax rate for the three months ended March 31, 2022 differs from the statutory federal rate of 21% primarily due to state and local taxes, non-deductible permanent differences, limited benefit on current year interest deductions and losses in certain jurisdictions, the change in the fair value of warrant liabilities, foreign income at different rates and the U.S. tax effect of international operations including Global Intangible Low-Taxed Income (“GILTI”) recorded during the period. The effective tax rate for the three months ended March 31, 2021 differs from the statutory federal rate of 21% primarily due to certain non-deductible expenses including transaction costs, the change in the fair value of warrant liabilities, stock-based compensation expense and the U.S. tax effect of international operations including GILTI recorded during the period.
Branded CPG
Three Months Ended
(In thousands)March 31, 2022March 31, 2021Change
Product revenues, net$103,761 $81,797 +26.9 %
Operating income$6,460 $10,159 -36.4 %
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Three Months Ended March 31, 2022 Compared to Three Months Ended March 31, 2021
Segment product revenues, net. Product revenues, net for Branded CPG for the three months ended March 31, 2022 were $103.8 million, an increase of $22.0 million, or 26.9%, from $81.8 million for the three months ended March 31, 2021, primarily driven by a $26.0 million increase in revenues as a result of a full quarter of Wholesome which was acquired on February 5, 2021, partially offset by a $2.2 million decline in organic sales due to the planned discontinuance of certain private label contracts and a $1.8 million unfavorable impact of foreign exchange.
Segment operating income. Operating income for Branded CPG for the three months ended March 31, 2022 was $6.5 million, a decrease of $3.7 million, or 36.4%, from $10.2 million for the three months ended March 31, 2021, primarily due to declines in natural products sales, costs associated with new production operations of $3.4 million, increased logistics and materials costs due to inflationary pressures, and higher bonus expense, partially offset by a $4.8 million increase in operating income at Wholesome as a result of a full quarter of results (acquired on February 5, 2021) and growth in the business.
Flavors & Ingredients
Three Months Ended
(In thousands)March 31, 2022March 31, 2021Change
Product revenues, net$26,831 $24,028 +11.7 %
Operating income$7,827 $972 *
* Represents positive or negative change equal to, or in excess of 100%
Three Months Ended March 31, 2022 Compared to Three Months Ended March 31, 2021
Segment product revenues, net. Product revenues, net for Flavors & Ingredients for the three months ended March 31, 2022 were $26.8 million, an increase of $2.8 million, or 11.7%, from $24.0 million for the three months ended March 31, 2021, primarily driven by increases in licorice extracts and pure derivatives primarily due to volume growth.
Segment operating income. Operating income for Flavors & Ingredients for the three months ended March 31, 2022 was $7.8 million, an increase of $6.9 million, from $1.0 million for the three months ended March 31, 2021, primarily driven by increased revenue of $2.8 million, a $2.0 million decrease in cost of goods sold and a $1.7 million decrease in restructuring and other expenses included in the prior year results that did not re-occur in 2022. The decrease in cost of goods sold was largely due to a $2.3 million favorable change in amortization of purchase accounting adjustments related to inventory revaluations in the first quarter of 2022 (benefit of $1.6 million in the first quarter of 2022 compared to expense of $0.7 million in the first quarter of 2021).
Corporate
Three Months Ended
(In thousands)March 31, 2022March 31, 2021Change
Operating loss$(7,222)$(14,195)-49.1 %
Three Months Ended March 31, 2022 Compared to Three Months Ended March 31, 2021
Operating loss. Operating loss for Corporate for the three months ended March 31, 2022 was $7.2 million, a decrease of $7.0 million from $14.2 million for the three months ended March 31, 2021, primarily driven by a $7.4 million decrease in acquisition related transaction expenses, partially offset by higher salaries from increased headcount in the second half of 2021.
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Liquidity and Capital Resources
We have historically funded operations with cash flow from operations and, when needed, with borrowings, which are described below.
We believe our sources of liquidity and capital, and our Credit Facilities will be sufficient to finance our continued operations, growth strategy and additional expenses we expect to incur for at least the next twelve months.
The following table shows summary cash flow information for the three months ended March 31, 2022 and March 31, 2021 (in thousands):
Three Months Ended
March 31, 2022March 31, 2021
Net cash provided by (used in) operating activities$4,446 $(5,597)
Net cash used in investing activities(3,226)(188,145)
Net cash (used in) provided by financing activities(337)204,056 
Effect of exchange rate changes on cash and cash equivalents186 594 
Net change in cash and cash equivalents$1,069 $10,908 
Operating activities. Net cash provided by operating activities was $4.4 million for the three months ended March 31, 2022 compared to cash used in operating activities of $5.6 million for the three months ended March 31, 2021. The increase was primarily attributable to higher cash flows from operating results driven by lower transaction-related expenses, favorable working capital changes, and lower income tax payments, partially offset by higher interest payments during the three months ended March 31, 2022. Cash paid for income taxes, net of income tax refunds was $1.0 million for the three months ended March 31, 2022 compared to $3.5 million for the three months ended March 31, 2021. Cash paid for interest for the three months ended March 31, 2022 was $5.6 million compared to $4.5 million for the three months ended March 31, 2021.
Investing activities. Net cash used in investing activities was $3.2 million for the three months ended March 31, 2022 and primarily related to capital expenditures. Net cash used in investing activities was $188.1 million for the three months ended March 31, 2021 which included cash paid of $187.6 million, net of cash acquired, related to the acquisition of Wholesome, $1 million of cash received for the final working capital settlement related to the acquisition of Swerve and capital expenditures of $1.5 million.
Financing activities. Net cash used in financing activities was $0.3 million for the three months ended March 31, 2022 and reflects $30.0 million of proceeds from the revolving credit facility, repayments of long-term debt of $0.9 million, cash payment for the Wholesome acquisition earn-out of $29.1 million (amount is net of $0.9 million related to transaction bonuses paid in connection with the earn-out and reflected in operating activities) and payments of $0.3 million for employee tax withholdings related to net share settlements of share-based awards. Net cash provided by financing activities was $204.1 million for the three months ended March 31, 2021 and reflects $400 million of proceeds from the Credit Facilities, repayment of the revolving credit facility of $47.9 million, repayments of long-term debt of $136.5 million and payments of debt issuance costs of $11.6 million.
Debt
As of March 31, 2022, term loan borrowings were $361.6 million, net of debt issuance costs of $9.6 million. As of December 31, 2021, term loan borrowings were $362.2 million, net of debt issuance costs of $10.0 million. There were borrowings under the Revolving Facility of $55.0 million and $25.0 million as of March 31, 2022 and December 31, 2021, respectively. The unamortized debt issuance costs related to the Revolving Facility were $1.7 million and $1.8 million at March 31, 2022 and December 31, 2021, respectively, and are included in other assets in the condensed consolidated balance sheet. At both March 31, 2022 and December 31, 2021, there were $2.1 million of outstanding letters of credit that reduced our availability under the revolving credit facility. See Note 7 to our consolidated and combined financial statements in our Annual Report on Form 10-K for the year ended December 31, 2021 for further information and significant terms and conditions associated with the Term Loan Facility and Revolving Facility.
As further described in the Acquisition section above, following the completion of the Wholesome Earn-Out Period, we determined, in accordance with the terms of the Purchase Agreement, that the sellers were entitled to receive the Earn-Out
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Amount in full. We elected to satisfy part of the Earn-Out Amount in common stock and on February 23, 2022, issued 2,659,574 shares of the Company’s common stock. The remaining $30 million portion of the $55 million Earn-Out Amount was paid in cash which was funded from available capacity under our revolving credit facility.
Critical Accounting Policies and Recently Issued Accounting Pronouncements
There have been no changes to critical accounting policies and estimates from those disclosed in our audited consolidated and combined financial statements for the year ended December 31, 2021. For information regarding our critical accounting policies and accounting pronouncements, see our unaudited condensed consolidated financial statements and the related notes to those statements included under Item 1. hereof and our 2021 Annual Report on Form 10-K.
Item 3.       Quantitative and Qualitative Disclosures About Market Risk
There have been no significant changes in market risk from those addressed in the Company’s Annual Report on Form 10-K for the year ended December 31, 2021 during the three months ended March 31, 2022. See the information set forth in Part II, Item 7A, Quantitative and Qualitative Disclosures About Market Risk, of the Company’s Annual Report on Form 10-K for the year ended December 31, 2021.

Item 4.       Controls and Procedures
Controls and Procedures
Disclosure controls and procedures are controls and other procedures that are designed to ensure that information required to be disclosed in our reports filed or submitted under the Exchange Act, is recorded, processed, summarized and reported within the time periods specified in the SEC’s rules and forms. Disclosure controls and procedures include, without limitation, controls and procedures designed to ensure that information required to be disclosed in our reports filed or submitted under the Exchange Act is accumulated and communicated to our management, including our Chief Executive Officer and Chief Financial Officer, to allow timely decisions regarding required disclosure.
Evaluation of Disclosure Controls and Procedures
As of the end of the period covered by this Quarterly Report on Form 10-Q, we conducted an evaluation, under the supervision and with the participation of our management, including our Chief Executive Officer and Chief Financial Officer, of our disclosure controls and procedures (as defined in Rules 13a-15(e) and 15d-15(e) under the Exchange Act). The Company’s management and the Chief Executive Officer and Chief Financial Officer concluded that the Company’s disclosure controls and procedures were effective as of March 31, 2022.
Changes in Internal Control over Financial Reporting
There have been no changes in internal control over financial reporting that occurred during the quarter ended March 31, 2022 that have materially affected, or are reasonably likely to materially affect, our internal control over financial reporting.
29
TABLE OF CONTENTS
PART II - OTHER INFORMATION
Item 1.       Legal Proceedings.
There have been no material developments in our legal proceedings since we filed our Annual Report on Form 10-K for the year ended December 31, 2021. Refer to “Part I. Item 3. Legal Proceedings” in our Annual Report on Form 10-K for the year ended December 31, 2021 for additional information regarding legal proceedings.
Item 1A.   Risk Factors.
We discuss in our filings with the SEC various risks that may materially affect our business. The materialization of any risks and uncertainties identified in forward-looking statements contained in this report together with those previously disclosed in our Annual Report on Form 10-K for the year ended December 31, 2021 and our other filings with the SEC or those that are presently unforeseen could result in significant adverse effects on our financial condition, results of operations and cash flows. See “Part 1, Item 2. Management’s Discussion and Analysis of Financial Condition and Results of Operations—Forward-looking Statements.” There have been no material changes in the risk factors previously disclosed in the section entitled “Item 1A-Risk Factors” of the Annual Report on Form 10-K for the year ended December 31, 2021, including the risk factors incorporated by reference therein.
Item 2.       Unregistered Sales of Equity Securities and Use of Proceeds.
Following the completion of the Earn-Out Period, we determined, in accordance with the terms of the Wholesome Purchase Agreement, that the WSO Sellers were entitled to receive the Earn-Out Amount in full. We elected to satisfy part of the Earn-Out Amount in common stock and on February 23, 2022, issued 2,659,574 shares of the Company’s common stock. The remaining $30 million portion of the $55 million Earn-Out Amount was paid in cash which was funded from available capacity under our revolving credit facility. The earn-out shares were issued in reliance on the exemption from registration provided by Section 4(a)(2) of the Securities Act for the offer and sale of securities not involving a public offering. No underwriter participated in the offer and sale of the earn-out shares, and no commission or other remuneration was paid or given directly or indirectly in connection therewith. We did not receive any proceeds in connection with the issuance of the earn-out shares.
Item 3.       Defaults Upon Senior Securities.
None.
Item 4.       Mine Safety Disclosures.
Not applicable.
Item 5.       Other Information.
None.
30
TABLE OF CONTENTS
Item 6.        Exhibits.
The following exhibits are filed as part of, or incorporated by reference into, this Quarterly Report on Form 10-Q.
No.Description of Exhibit
3.1
3.2
3.3
10.1*
10.2*
31.1*
31.2*
32.1**
32.2**
101.INS*XBRL Instance Document - the instance document does not appear in the Interactive Data File because its XBRL tags are embedded within the Inline XBRL Document
101.SCH*XBRL Taxonomy Extension Schema Document
101.CAL*XBRL Taxonomy Extension Calculation Linkbase Document
101.DEF*XBRL Taxonomy Extension Definition Linkbase Document
101.LAB*XBRL Taxonomy Extension Labels Linkbase Document
101.PRE*XBRL Taxonomy Extension Presentation Linkbase Document
104*The cover page for the Company’s Quarterly Report on Form 10-Q has been formatted in Inline XBRL and contained in Exhibit 101
* Filed herewith.
**Furnished herewith.
31
TABLE OF CONTENTS
SIGNATURES
Pursuant to the requirements of Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.
Whole Earth Brands, Inc.
/s/ Albert Manzone
Date: May 10, 2022Name:Albert Manzone
Title: Chief Executive Officer
(Principal Executive Officer)
/s/ Duane Portwood
Date: May 10, 2022Name:Duane Portwood
Title:Chief Financial Officer
(Principal Financial and Accounting Officer)

32

Exhibit 10.1
Merisant Company
125 S. Wacker Drive, Suite 3150
Chicago, Illinois 60606


June 18, 2020


Brian Litman
1664 Dartmouth Court
Naperville, IL 60565

Dear Brian:

    We are pleased to extend to you an offer of employment (the “Agreement”) for the position of Corporate Controller and Treasurer at Merisant US, Inc. (“Merisant “or the “Company”). Summarized below are the principal terms of our employment offer.

•Your starting date will be June 29, 2020, but is contingent on the close of ACT II’s definitive business combination with Merisant Company (the “Closing”). This Agreement shall be null and void if the Closing is not consummated on or before June 30, 2020.

•Your base salary (“Base Salary”) will be paid at the rate of $300,000.00 USD per year, subject to appropriate tax withholdings and deductions, payable in accordance with the Company’s normal payroll cycle. You will be eligible to participate in the April 2021 salary increase cycle subject to your individual performance and business conditions.

•After the end of each calendar year in which you are employed, you will be eligible for a discretionary bonus based on performance to budget of Merisant and such other performance metrics that may be set annually, with a target level of 40% of Base Salary. Bonus will be based on EBITDA attainment vs. budget. Final determination of the year-end bonus is in the sole discretion of the Company. For purposes of clarity, your 2020 bonus will be multiplied by a fraction, the numerator of which is the number of days you are employed during 2020, and the denominator of which is 365, to reflect pro-ration. Normally, bonus payouts are made in the first quarter of the following year.

•You will be eligible for 4 weeks’ (20 days) vacation on an annualized basis, which shall be prorated for any partial year of service. Based on a June 30, 2020 start date you are eligible for 10.00 vacation days and two personal days in 2020. Vacation hours are taken in blocks of 4 or 8 hours.

•You shall be entitled to all benefits for which you are be eligible under the employee benefit plans of the Company, which may include, without limitation, any 401(k) plan, life insurance, disability insurance, health insurance, or other so-called “fringe” benefit plans or policies, which benefits may be amended, modified or terminated in Company’s discretion. The Company’s benefit programs are described in separate official plan documents, the terms of which govern these benefits.

•You are eligible for a one-time sign-on bonus (“Sign-on Bonus”) of $150,000 (less applicable tax withholdings and deductions). Such bonus shall be paid on the first payroll after your start date. You agree that although such payment is being advanced to you, it will not be earned by you until you satisfactorily complete two years of employment with the Company from the payment date. If you voluntarily resign from your position with the Company or are terminated for Cause (as defined below) within 2 years of this payment, you will be required to repay the full $150,000 within 60 days of your resignation or termination date. In the event you are required to repay this payment, the Company may deduct such payments from any amounts it may owe to you, to the maximum extent permitted by applicable law, and, you must sign any authorizations reasonably requested by the Company.



•The Corporate Controller and Treasurer will be eligible for a market-based discretionary Long Term Incentive Plan Award (“LTIP Award”) consistent with a Chief Accounting Officer, Corporate Controller and Treasurer. A target award amount will be determined by the new ownership. The terms of the LTIP Award will be subject to definitive documentation, it being understood that the terms of such definitive documentation will supersede this paragraph.

•The Company may at any time by written notice to you terminate your employment for Cause (as defined hereunder), and, upon such termination, you shall be entitled to receive no further amounts or benefits hereunder, except any as shall have been earned to the date of such termination. For purposes of this letter, “cause” shall mean: in the event of gross neglect by you of your duties hereunder, your conviction of any felony, your conviction of any lesser crime or offense involving the property of the Company or any of its subsidiaries or affiliates, willful misconduct by you in connection with the performance of any material portion of your duties hereunder on your part which would make your continued employment by either Company materially prejudicial to the best interests of such Company.

•Upon any termination of employment, you shall promptly resign from any positions with the Company and its subsidiaries and affiliates, whether as an officer, director, employee, or otherwise and shall promptly execute any documents reasonably required to effectuate the resignation. For the avoidance of doubt, the restrictive covenants contained in this letter or any employment agreement shall survive the termination of this letter, in such form as may be prepared by the Company, of all claims, except for such matters covered by provisions of this letter which expressly survive the termination of your employment.

•In the event of a termination by the Company without Cause, excluding death or disability, you shall be entitled to severance of six months’ Base Salary (the “Severance Period”), payable during the Company’s normal payroll cycle. In addition, if you receive an LTIP and it is permitted in the LTIP plan document, you will receive a pro rata portion of your LTIP Award(s), if any, payable in accordance with company policy when the awards would otherwise be payable to similarly situated employees.

•All of the severance payments described herein are conditioned on your execution, delivery and non-revocation of the general waiver and release of claims within 21 days following your termination of employment (the “Release Condition”). Payments and benefits of amounts which do not constitute nonqualified deferred compensation and are not subject to Section 409A (“Section 409A”) of the Internal Revenue Code shall commence five (5) days after the Release Condition is satisfied. Payments and benefits which are subject to Section 409A shall commence on the 60th day after termination of employment (subject to further delay, if required by Section 409A); provided that the Release Condition is satisfied.

•The Company’s severance obligations are subject to your duty to mitigate damages by seeking other employment provided, however, that you shall not be required to accept a position of lesser importance or of substantially different character than the position held with the Company immediately prior to the effective date of termination or in a location outside of the Chicago metropolitan area. To the extent that you shall earn compensation during the Severance Period (without regard to when such compensation is paid), the severance payments of Base Salary to be made by the Company shall be correspondingly reduced.

•The Company may deduct and withhold from any amounts payable according to this letter such Federal, state, local, non-U.S. or other taxes as are required or permitted to be withheld pursuant to any applicable law or regulation. This letter is intended to satisfy the requirements of Section 409A of the Internal Revenue Code of 1986, as amended (the “Code”) (“Section 409A”) with respect to amounts, if any, subject thereto and shall be interpreted and construed and shall be performed by the parties consistent with such intent. If either party notifies the other in writing that one or more or the provisions of this letter contravenes any Treasury Regulations or guidance promulgated under Section 409A or causes any amounts to be subject to interest, additional tax or penalties under Section 409A, the parties shall agree to negotiate in good faith to make amendments to this letter as the parties mutually agree, reasonably and in good faith are necessary or desirable, to (a) maintain to the maximum extent reasonably practicable the original intent of the applicable provisions without violating the provisions of Section 409A or increasing the costs to the Company of providing the applicable benefit or payment and (b) to the extent possible, to avoid the imposition of any interest, additional tax or other penalties under Section 409A upon the parties. To the


extent you would otherwise be entitled to any payment or benefit under this letter, or any plan or arrangement of the Company or its affiliates, that constitutes a “deferral of compensation” subject to Section 409A and that if paid during the six (6) months beginning on the date of termination of your employment would be subject to the Section 409A additional tax because you are a “specified employee” (within the meaning of Section 409A and as determined by the Company), the payment or benefit will be paid or provided to you on the earlier of the first day following the six (6) month anniversary of your termination of employment or death. Any payment or benefit due upon a termination of your employment that represents a “deferral of compensation” within the meaning of Section 409A shall be paid or provided to you only upon a “separation from service” as defined in Treas. Reg. § 1.409A-1(h). Each payment made under this letter shall be deemed to be a separate payment for purposes of Section 409A. Amounts payable under this letter shall be deemed not to be a “deferral of compensation” subject to Section 409A to the extent provided in the exceptions in Treasury Regulation §§ 1.409A-1(b)(4) (“short-term deferrals”) and (b)(9) (“separation pay plans,” including the exception under subparagraph (iii)) and other applicable provisions of Treasury Regulation § 1.409A-1 through A-6. Notwithstanding anything to the contrary in this letter, any payment or benefit under this letter or otherwise that is exempt from Section 409A pursuant to Treasury Regulation § 1.409A-1(b)(9)(v)(A) or (C) (relating to certain reimbursements and in-kind benefits) shall be paid or provided to you only to the extent that the expenses are not incurred, or the benefits are not provided, beyond the last day of the second calendar year following the calendar year in which your “separation from service” occurs; and provided further that such expenses are reimbursed no later than the last day of the third calendar year following the calendar year in which your “separation from service” occurs. To the extent any indemnification payment or expense reimbursement or the provision of any in-kind benefit is determined to be subject to Section 409A (and not exempt pursuant to the prior sentence or otherwise), the amount of any such indemnification payment or expenses eligible for reimbursement, or the provision of any in-kind benefit, in one calendar year shall not affect the indemnification payment or provision of in-kind benefits or expenses eligible for reimbursement in any other calendar year (except for any life-time or other aggregate limitation applicable to medical expenses), and in no event shall any indemnification payment or expenses be reimbursed after the last day of the calendar year following the calendar year in which you incurred such indemnification payment or expenses, and in no event shall any right to indemnification payment or reimbursement or the provision of any in-kind benefit be subject to liquidation or exchange for another benefit.

•The Company may withhold from any amounts payable hereunder such federal, state, local and other taxes as may be required to be withheld pursuant to any applicable law or regulation.

•During your employment and for 6 months thereafter (the “Non-Compete Period”), you shall not, directly or indirectly, enter the employ of, or render any services to, any person, firm or corporation engaged in any business competitive with the business of the Company or of any of its subsidiaries or affiliates; you shall not engage in such business on your own account; and you shall not become interested in any such business, directly or indirectly, as an individual, partner, shareholder, director, officer, principal, agent, employee, trustee, consultant, or in any other relationship or capacity provided, however, that nothing contained in this section shall be deemed to prohibit you from acquiring, solely as an investment, up to five percent (5%) of the outstanding shares of capital stock of any public corporation. You further agree that while you are employed by the Company and during the Non-Compete Period, you will not hire or attempt to hire any employee of the Company or any of its affiliates, assist in such hiring by any person, encourage any such employee to terminate his or her relationship with the Company or any of its affiliates, or solicit or encourage any customer or vendor of the Company or any of its affiliates to terminate or diminish its relationship with them, or, in the case of a customer, to conduct with any person any business or activity which such customer conducts or could conduct with the Company or any of its affiliates. The Non-Compete Period will be reduced to 2 months if you voluntarily terminate your employment within 2 weeks of receiving an LTIP Award.

This offer is contingent upon your satisfactory completion of the Company’s pre-employment background checks including but not limited to reference checks. Please note that your employment with the Company is also contingent upon your execution of a Confidentiality Agreement. You hereby represent and warrant that you are not subject to any other agreement, including without limitation any agreement not to compete or confidentiality agreement, which would be violated by your performance of services hereunder. The validity, interpretations,


construction and performance of this agreement shall be governed by the laws of the State of Illinois without giving effect to conflict of laws principles.

    If you accept employment with the Company, you agree to follow the rules and regulations of the Company. Please understand that the Company reserves the right to modify, supplement and discontinue all policies, rules, benefit plans and programs at any time in its sole discretion.

The Company is required by law to obtain documentation of employment authorization and identity within three days of your start date. As a condition of employment, you are required to complete the I-9 form included in your new hire kit and bring, within three days of your start date, the documentation of employment authorization and identity described on the reverse side of the I-9 form.

You acknowledge that no other promises or representations were made to you other than as set forth in this letter, and that no other inducement caused you to sign this letter.

We look forward to working with you in your new position.



Very truly yours,



/s/ Andy Rusie
Andy Rusie
Chief Financial Officer




Please indicate your acceptance of this offer by signing in the space below and returning a signed original letter to me by June 18, 2020.


Accepted:/s/ Brian LitmanDate:June 19, 2020
Brian Litman


FIRST AMENDMENT TO EMPLOYMENT AGREEMENT

This FIRST AMENDMENT TO OFFER OF EMPLOYMENT (“First Amendment”) is made and entered into this 20th day of January 2021, by and among Merisant US, Inc., (hereinafter referred to as the “Company”), and Brian Litman (hereinafter referred to as the “Employee”). Except as otherwise defined in this First Amendment, all capitalized terms not otherwise defined herein shall have the meanings ascribed to such terms in the Original Offer (as defined below).

WHEREAS, the Company and the Employee are parties to that certain offer of employment, dated June 19, 2020 (the “Original Offer”), setting forth the employment terms between the Company and the Employee.

The Original Offer and the First Amendment are hereafter referred to collectively as the Agreement.

NOW, THEREFORE, in consideration of the mutual undertakings contained herein, and for other good and valuable consideration, the receipt and sufficiency of which are acknowledged, the parties hereto agree to modify the Agreement as follows:

1. AMENDMENTS.

The following paragraph is amended as indicated below:

You are eligible for a one-time sign-on bonus (“Sign-on Bonus”) of $150,000 (less applicable tax withholdings and deductions). Such bonus shall be paid in the February 28, 2021 payroll and shall vest as follows: i. $100,000 shall vest on the first anniversary of your employment with the Company and ii. the remaining $50,000 shall vest on the second anniversary of your employment with the Company. If you voluntarily resign from your position with the Company or are terminated for Cause (as defined below) before the date each amount vests as indicated above, you will be required to repay the respective amount(s) within 60 days of your resignation or termination date. In the event you are required to repay this payment, the Company may deduct such payments from any amounts it may owe to you, to the maximum extent permitted by applicable law, and, you must sign any authorizations reasonably requested by the Company.

2. GENERAL PROVISIONS.

Effectiveness and Effect of the Amendments. The amendments set forth herein shall be effective as of January 20, 2021. All other terms of the Agreement not expressly amended hereby shall remain in full force and effect.

Counterparts. This First Amendment may be executed in one or more counterparts, each of which shall be deemed an original, but all of which shall constitute one and the same instrument.


IN WITNESS WHEREOF, each of the parties has caused this First Amendment to be executed as of the date first written above.



For the Company:
Employee:
By:/s/ Andy RusieDate:/s/ Brian Litman
Name:Andy RusieName:Brian Litman
Title:CFO



September 30, 2021
Brian Litman, via email

Dear Brian:

I am pleased to confirm your appointment to the role of Chief Accounting Officer, reporting to the Chief Financial Officer, Whole Earth Brands. The details of your appointment are as follows:


CurrentNew
Effective Date:N/ASeptember 28, 2021
Base Salary$305,985$340,000
Base Salary IncreaseN/A11%*
Short-term Incentive Target40%40%
Short-term Investment Payout at Target$122,394$136,000
Short-term Incentive AlignmentWEB GlobalWeb Global
Long-term Incentive Target50%75%**
Long-term Incentive Payout at Target$152,992$255,000
Total Cash Compensation at Target$581,371$731,000
Total Increase %N/A26%

*Inclusive of 2022 merit increase
**For Q4 2021, amount is prorated to reflect the difference between the current and new LTI targets.

The other aspects of your compensation, benefits and employment terms will remain unchanged at this time, and will be reviewed periodically and could be adjusted based upon competitive market data.

Brian, I look forward to your continued contributions and congratulate you on your appointment. Please return a signed copy of this letter to Trisha Fox by October 4, 2021.

Should you have any questions, please do not hesitate to contact me.

Sincerely,

/s/ Albert Manzone
Albert Manzone
Chief Executive Officer
/s/ Brian Litman
Brian Litman

Exhibit 10.2

December 2, 2020

Jeffrey S. Robinson
22 Mill Road
Manalapan, NJ 07726

Dear Jeff:
We are pleased to extend to you an offer of employment (“Agreement”) for the position of President at Mafco Worldwide LLC (the “Company”), the Flavors & Ingredients segment of Whole Earth Brands, Inc. (WEB”). As of the effective date of December 7, 2020, this Agreement will supersede your employment agreement dated August 1, 2016 (“Prior Agreement”) in its entirety. In consideration of your new position at the Company and the other promises set forth herein, each party hereto relinquishes all rights, and releases the other from all promises, liabilities and commitments that may have existed in the Prior Agreement, which shall be null and void and of no further effect. Summarized below are the principal terms of our employment offer.

•Your base salary (“Base Salary”) will be paid at the rate of $390,000 USD per year, subject to appropriate tax withholdings and deductions, payable in accordance with the Company’s normal payroll cycle.

•After the end of each calendar year in which you are employed, you will be eligible for a discretionary bonus starting in 2021 based on performance to budget of the Company and such other performance metrics that may be set annually, with a target level of 75% of Base Salary. Final determination of the year-end bonus is in the sole discretion of the Company. For purposes of clarity, your 2021 bonus will be multiplied by a fraction, the numerator of which is the number of days you are employed during 2021, and the denominator of which is 365, to reflect pro-ration.

•You shall be eligible for a discretionary long term incentive plan award (“LTIP Award”) beginning January 1, 2021. You shall be eligible for a discretionary rolling LTIP Award at the time of any future LTIP Award. For purposes of clarity, your LTIP Award will be multiplied by a fraction, the numerator of which is the number of days you are employed during the award term, and the denominator of which is the total number of days in the award term, to reflect pro-ration. The terms of the LTIP Award are subject to definitive documentation which must be approved by the board of directors of WEB, it being understood that the terms of such definitive documentation will supersede this paragraph.

•You continue to remain eligible according to the terms of the Whole Earth Brands, Inc. Restricted Stock Units Agreement under the Whole Earth Brands, Inc. 2020 Long-Term Incentive Plan and the Restricted Stock Units Notice you signed on October 7, 2020.

•You continue to remain eligible to receive any payments that may come due according to the terms of the letter agreement executed between you and the Company with an effective date of September 19, 2019 related to the Company Sale (as defined in that letter agreement).

•Replacement Defined Benefit Pension Plan: The Company intends to terminate its qualified defined benefit plan, the MAFCO Worldwide LLC Replacement Defined Benefit Pension Plan, (the “Plan”) and pay benefits in accordance with the terms of the Plan. To this end the Company will take all actions necessary or advisable for the process of terminating the Plan in accordance with its duties under ERISA, and will make any filings with and obtain all approvals, including from its board of directors and from the appropriate governmental agencies, including the Department of Labor, the Pension Benefit Guaranty Corporation and the Internal Revenue Service. Payment of benefits under the Plan will be contingent upon the completion of this process.

•The Company would like to reward your continued future service as an employee of the Company, by granting you the right to earn a one-time bonus payable in connection with a future Company Sale. Specifically, if you continue to remain an employee in good standing through the closing date of the Company Sale (as defined below), you shall be paid a one-time cash bonus equal to no less than $1,200,000


(the “Transaction Bonus”) on or within fourteen days following the closing date of such Company Sale. In the event it is determined at a later date by the WEB board of directors that you are entitled to any additional compensation amount beyond the Transaction Bonus amount listed above related to a Company Sale, you will receive a separate agreement documenting such additional compensation but you will not receive less than the Transaction Bonus. “Company Sale” means the first (and only the first) occurrence of the consummation of a transaction which involves a sale or other disposition of all or substantially all of the voting shares or the assets of the Company and which satisfies the requirements of Treas. Regulation 1.409A-3(1)(5). Notwithstanding the foregoing, in no event shall a Company Sale include (x) a sale pursuant to Section 363 of the Bankruptcy Code or (y) a reorganization or recapitalization. Notwithstanding any other provision of this Agreement to the contrary, if the Company determines that any payment or benefit that you would receive pursuant to a Company Sale or otherwise (“Payment”) would (i) constitute a “parachute payment” within the meaning of Section 280G of the Internal Revenue Code of 1986, as amended (the “Code”), and (ii) but for this sentence, be subject to the excise tax imposed by Section 4999 of the Code (the “Excise Tax”), then such Payment shall be reduced to the Reduced Amount. The “Reduced Amount” shall be the largest portion of the Payment that would result in no portion of the Payment being subject to the Excise Tax.

•You will be part of the executive team of the Company and eligible to participate in the executive compensation program and serve on any committees, upon approval of the board of directors of Whole Earth Brands, Inc. (“WEB”). The terms of any such executive compensation program will be determined by the Compensation Committee, which may include bonuses and LTIPs in place of or on top of those listed above, and will be subject to definitive documentation. It being understood that if an executive compensation program is approved for the President of the Company, the terms of such definitive documentation will supersede this offer letter.

•You will be eligible for 5 weeks’ (25 days) vacation on an annualized basis, which shall be prorated for any partial year of service. Vacation hours are taken in blocks of 4 or 8 hours.

•You shall be entitled to all benefits for which you are be eligible under the employee benefit plans of the Company, which may include, without limitation, any qualified pension plan, 401(k) plan, life insurance, disability insurance, health insurance, or other so-called “fringe” benefit plans or policies, which benefits may be amended, modified or terminated in Company’s discretion. The Company’s benefit programs are described in separate official plan documents, the terms of which govern these benefits.

•You shall be entitled to use of a company car, consistent with the Company policy in effect from time to time.

•In the event of a termination by the Company without cause, excluding death or disability, you shall be entitled to severance of six months’ Base Salary (the “Severance Period”), payable during the Company’s normal payroll cycle. In addition, if permitted in the LTIP plan document, you will receive a pro rata portion of your LTIP Award(s) payable in accordance with company policy when the awards would otherwise be payable to similarly situated employees.

•All of the severance payments described herein are conditioned on your execution, delivery and non-revocation of the general waiver and release of claims within 21 days following your termination of employment (the “Release Condition”). Payments and benefits of amounts which do not constitute nonqualified deferred compensation and are not subject to Section 409A (“Section 409A”) of the Internal Revenue Code shall commence five (5) days after the Release Condition is satisfied. Payments and benefits which are subject to Section 409A shall commence on the 60th day after termination of employment (subject to further delay, if required by Section 409A); provided that the Release Condition is satisfied.

•The Company’s severance obligations are subject to your duty to mitigate damages by seeking other employment provided, however, that you shall not be required to accept a position of lesser importance or of substantially different character than the position held with the Company immediately prior to the effective date of termination or in a location more than 100 miles from Camden, NJ. To the extent that you


shall earn compensation during the Severance Period (without regard to when such compensation is paid), the severance payments of Base Salary to be made by the Company shall be correspondingly reduced.

•The Company may at any time by written notice to you terminate your employment for Cause (as defined hereunder), and upon such termination, you shall be entitled to receive no further amounts or benefits hereunder, except any as shall have been earned to the date of such termination. For purposes of this letter, “cause” shall mean: in the event of gross neglect by you of your duties hereunder, your conviction of any felony, your conviction of any lesser crime or offense involving the property of the Company or any of its subsidiaries or affiliates, willful misconduct by you in connection with the performance of any material portion of your duties hereunder on your part which would make your continued employment by either Company materially prejudicial to the best interests of such Company.

•The Company may withhold from any amounts payable hereunder such federal, state, local and other taxes as may be required to be withheld pursuant to any applicable law or regulation.

•During your employment and for 12 months thereafter (the “Non-Compete Period”) and within the Restrictive Territory, you shall not, directly or indirectly, enter the employ of, or render any services to, any person, firm or corporation engaged in any business competitive with the business of the Company or of any of its subsidiaries or affiliates; you shall not engage in such business on your own account; and you shall not become interested in any such business, directly or indirectly, as an individual, partner, shareholder, director, officer, principal, agent, employee, trustee, consultant, or in any other relationship or capacity provided, however, that nothing contained in this section shall be deemed to prohibit you from acquiring, solely as an investment, up to five percent (5%) of the outstanding shares of capital stock of any public corporation. You further agree that while you are employed by the Company and during the Non-Compete Period, you will not hire or attempt to hire any employee of the Company or any of its affiliates, assist in such hiring by any person, encourage any such employee to terminate his or her relationship with the Company or any of its affiliates, or solicit or encourage any customer or vendor of the Company or any of its affiliates to terminate or diminish its relationship with them, or, in the case of a customer, to conduct with any person any business or activity which such customer conducts or could conduct with the Company or any of its affiliates. For purposes of this Agreement, the term “Restrictive Territory” means the states within the United States and the countries in which the Company and its affiliates conduct business. If, at the time of enforcement of this paragraph of this Agreement, a court shall hold that the duration, scope or geographical area restrictions stated herein are unreasonable under circumstances then existing, the parties hereto agree that the maximum duration, scope or geographical area reasonable under such circumstances shall be substituted for the stated duration, scope or area and that the court shall be allowed to revise the restrictions contained herein to cover the maximum period, scope and area permitted by law.

Please note that your employment with the Company is also contingent upon your execution of a Confidentiality Agreement. You hereby represent and warrant that you are not subject to any other agreement, including without limitation any agreement not to compete or confidentiality agreement, which would be violated by your performance of services hereunder. The validity, interpretations, construction and performance of this agreement shall be governed by the laws of the State of New York without giving effect to conflict of laws principles.

If you accept employment with the Company, you agree to follow the rules and regulations of the Company. Please understand that the Company reserves the right to modify, supplement and discontinue all policies, rules, benefit plans and programs at any time in its sole discretion.

You acknowledge that no other promises or representations were made to you other than as set forth in this letter, and that no other inducement caused you to sign this letter. If you accept the terms of this offer of employment, please sign this letter and return it to me by Thursday, December 3.








We look forward to working with you in your new position.

Very truly yours,


/s/ Albert Manzone
Albert Manzone
CEO
Whole Earth Brands, Inc.


Please indicate your acceptance of this offer by signing in the space below and returning a signed original letter to me.

Accepted:/s/ Jeffrey S. RobinsonDate:December 7, 2020
Jeffrey S. Robinson

Exhibit 31.1
CERTIFICATION PURSUANT TO
RULES 13a-14(a) AND 15d-14(a) UNDER THE SECURITIES EXCHANGE ACT OF 1934, AS AMENDED,
AS ADOPTED PURSUANT TO SECTION 302 OF
THE SARBANES-OXLEY ACT OF 2002
I, Albert Manzone, certify that:
1.I have reviewed this Quarterly Report on Form 10-Q of Whole Earth Brands, Inc.;
2.Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;
3.Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;
4.The registrant’s other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:
a)Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;
b)Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;
c)Evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and
d)Disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the registrant’s most recent fiscal quarter (the registrant’s fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting; and
5.The registrant’s other certifying officer and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant’s auditors and the audit committee of the registrant’s board of directors (or persons performing the equivalent functions):
(a)All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant’s ability to record, process, summarize and report financial information; and
(b)Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal control over financial reporting.
Date: May 10, 2022/s/ Albert Manzone
Albert Manzone
Chief Executive Officer
(Principal Executive Officer)

Exhibit 31.2
CERTIFICATION PURSUANT TO
RULES 13a-14(a) AND 15d-14(a) UNDER THE SECURITIES EXCHANGE ACT OF 1934, AS AMENDED,
AS ADOPTED PURSUANT TO SECTION 302 OF
THE SARBANES-OXLEY ACT OF 2002
I, Duane Portwood, certify that:
1.I have reviewed this Quarterly Report on Form 10-Q of Whole Earth Brands, Inc.;
2.Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;
3.Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;
4.The registrant’s other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:
a)Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;
b)Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;
c)Evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and
d)Disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the registrant’s most recent fiscal quarter (the registrant’s fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting; and
5.The registrant’s other certifying officer and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant’s auditors and the audit committee of the registrant’s board of directors (or persons performing the equivalent functions):
(a)All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant’s ability to record, process, summarize and report financial information; and
(b)Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal control over financial reporting.
Date: May 10, 2022/s/ Duane Portwood
Duane Portwood
Chief Financial Officer

Exhibit 32.1
CERTIFICATION
PURSUANT TO
18 U.S.C. SECTION 1350,
AS ADOPTED PURSUANT TO
SECTION 906 OF THE SARBANES-OXLEY ACT OF 2002
In connection with the Quarterly Report of Whole Earth Brands, Inc. (the “Company”) on Form 10-Q for the quarterly period ended March 31, 2022, as filed with the Securities and Exchange Commission (the “Report”), I, Albert Manzone, Chief Executive Officer of the Company, certify, pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002, that, to my knowledge:
1.The Report fully complies with the requirements of Section 13(a) or 15(d) of the Securities Exchange Act of 1934, as amended; and
2.The information contained in the Report fairly presents, in all material respects, the financial condition and results of operations of the Company.

Date: May 10, 2022/s/ Albert Manzone
Albert Manzone
Chief Executive Officer
(Principal Executive Officer)

Exhibit 32.2
CERTIFICATION
PURSUANT TO
18 U.S.C. SECTION 1350,
AS ADOPTED PURSUANT TO
SECTION 906 OF THE SARBANES-OXLEY ACT OF 2002
In connection with the Quarterly Report of Whole Earth Brands, Inc. (the “Company”) on Form 10-Q for the quarterly period ended March 31, 2022, as filed with the Securities and Exchange Commission (the “Report”), I, Duane Portwood, Chief Financial Officer of the Company, certify, pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002, that, to my knowledge:
1.The Report fully complies with the requirements of Section 13(a) or 15(d) of the Securities Exchange Act of 1934, as amended; and
2.The information contained in the Report fairly presents, in all material respects, the financial condition and results of operations of the Company.

Date: May 10, 2022/s/ Duane Portwood
Duane Portwood
Chief Financial Officer