April 9, 2019
Mundo Media, a Richmond Hill, Ontario-based advertising technology company that offers mobile marketing expertise to its customers, was placed in receivership on April 9 on application by RBC, owed approximately CAD $43.6MM and USD $25.7MM. Employing approximately 45 employees across Canada, the US and Luxembourg, the company has been experiencing declining revenue in the past year as result of, among other things, increasing scrutiny on the online advertising industry and Facebook's deletion of over 1.5 billion fake accounts, which has reduced the activity that leads to revenue generation for the company. RBC provided time for the company to find a solution to its liquidity constraints, but after months of effort, the company's best option was a letter of intent for the sale of the business which would see the bank incur a significant shortfall. EY was appointed receiver. Counsel is TGF for the applicant and Norton Rose Fulbright for the company.