June 17, 2022
Emkade Distribution, an Edmonton, Alberta-based manufacturer and supplier of oilfield equipment and accessories, and certain related entities were placed in receivership on June 17, on application by BNS and Roynat, owed collectively approximately $6.8 million. Since approximately April 30, 2021, Emkade has been in breach of its obligations to the lenders. In May 2020, the company commenced an informal sales process with the goal of securing a working capital injection. Two offers were received and one, which was for Emkade's USA assets, was accepted. Subsequently, an offer acceptable to the company and the lenders was received from Edward Liegman, who owns 13% of Emkade. Ultimately, two transactions were negotiated between the lenders and Mr. Liegman, each structured as pre-pack sales. PwC was appointed receiver. Counsel is MLT Aikins for the applicants, Miller Thomson for the receiver, Fasken for the the debtors and Cassels for Edward Liegman.
By Dina Milivojevic