Industries RAD Inc. (doing business under the names of Faucher Industries and Rocky Mountain) and Rocky Mountain Bikes inc. - CCAA

Industries RAD Inc. (doing business under the names of Faucher Industries and Rocky Mountain) and Rocky Mountain Bikes inc. (collectively, “RAD”) obtained an initial order under the CCAA on December 19.

RAD operates two separate businesses based in Montréal and Québec City respectively: Rocky Mountain, a designer, marketer and distributor of “Rocky Mountain” branded bicycles; and Faucher Industries, a supplier and distributor of industrial transportation hardware. RAD employs 110 people across the two divisions and has operations in British Columbia, the United States, Germany and the Netherlands.

RAD has incurred significant financial losses over the past two years due to a decline in the Rocky Mountain business and unfavorable market conditions resulting from the Covid-19 pandemic. These financial difficulties resulted in RAD exceeding the limits under its ABL credit facility with its senior secured lender, Wells Fargo.

The CCAA proceedings contemplate the implementation of two distinct SISPs for Rocky Mountain and Faucher Industries funded by an interim facility provided by Wells Fargo.

EY is the monitor.

Counsel is Lavery de Billy for RAD, Norton Rose Fulbright for Wells Fargo, Stikeman Elliott for the monitor and Kugler Kandestin for Roynat.