Sunwave Gas & Power Inc.

Sunwave Gas & Power Inc., a North York, Ontario-based provider of energy commodity products and services, filed an assignment in bankruptcy on February 23, listing approximately $13.2 million in liabilities, including approximately $12 million to ONEnergy Inc., its publicly-traded parent company. In 2015, the Ontario provincial government placed restrictions on door-to-door sales of utility related products and services. This negatively impacted the company’s ability to market its products. After suffering losses since the third quarter of 2017 due to volatility in wholesale energy prices, significant working capital commitment and weather issues, the company formally began marketing itself for sale. The US based division was sold to C Wave Inc. (“C Wave”) in 2019 for US$3.6 million plus working capital. On closing, the working capital was negative US$4.3 million resulting in a payable to C Wave for approximately US$700,000. Demand was made by C Wave for payment of this debt in February 2021 and again 2022. The company was without funds to pay the debt to C Wave. Farber is the bankruptcy trustee.