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Fluid Brands
Fluid Brands, the Toronto, Ontario-based parent company of Bowring and Bombay, home interior and decor retail store chains, filed an NOI on October 25, listing approximately $50.0MM in liabilities, including $23.5MM to CIBC and $14.8MM to Isaac Bennet Sales Agencies. The company acquired the Bombay and Bowring businesses in 2014 through a prior restructuring of those businesses pursuant to the CCAA but has not been able to turn the businesses around: Bombay lost approximately $3.1MM in the last year and Bowring lost $1.9MM during the same period. These operating losses, coupled with service of demands for repayment by certain of the company's secured creditors, resulted in the company filing an NOI. This will be the third insolvency restructuring for the Bombay chain of stores and the second insolvency restructuring for the Bowring stores. Over the next 60 days, the company intends to liquidate as much inventory as possible and to close certain locations as inventory levels drop. The company will assess the results of the holiday season liquidation before determining what its ultimate proposal to creditors will be. Merchant Retail Solutions and Gordon Brothers will be spearheading the inventory liquidation process. CIBC will be providing a DIP loan during the proposal proceedings. Richter is the proposal trustee. Counsel is Torkin Manes for the company, Gowlings for CIBC, BLG for Isaac Bennet Sales Agencies and Osler for the proposal trustee.