February 21, 2023
11157353 Canada Corporation, the Canadian holding company of a group of cannabis companies that do business under the name “Materia” in Canada, Malta, Germany, and the United Kingdom, was placed in receivership on February 21, on application by Ela Capital Inc. In 2021, Ela Capital advanced loans to the company totalling approximately $2.8 million in principal. The company has failed to repay the loans on their maturity dates. In addition, it has defaulted on secured loans provided by Kanabo Group Plc. KSV was appointed Receiver. On the same date that the Receiver was appointed, the Court approved a sales process, a stalking horse APA and a KERP. Reconstruct is counsel to Ela Capital, Miller Thomson is counsel to the Receiver and Dentons is counsel to Reflourish Capital Limited, another secured creditor and the stalking horse bidder.
By Dina Milivojevic