December 7, 2022
Cerebri AI Corporation, a Toronto, Ontario-based software development business, filed an assignment in bankruptcy on December 7, listing approximately $10.2 million in liabilities. The company was doing research and development work for its parent company, which is based in the United States, and selling the software products in Canada. The company worked closely with certain banks and other corporations for their software needs. Some of the potential clients shelved the projects and deferred investment into new software products during the initial phase of the COVID-19 pandemic given the uncertainty prevailing at that time. Other products were unable to go past the development and testing phase. The business incurred significant costs for development and testing and, when it did not materialize into a licensing agreement, the funding dried up and the company was unable to meet its obligation to its creditors and investors. It ceased operations around June 2022 and eventually filed an assignment in bankruptcy. Goldhar & Associates is the bankruptcy trustee.
By Dina Milivojevic