BUSINESSCLASSIFIED
TOPLACE ANAD CALL:1-866-999-9 237 EMAIL:[email protected]
LEGALSCourt File No. CV-20-00638503-00CL
IN THE ONTARIO SUPERIOR COURT OF JUSTICE (COMMERCIAL LIST)
IN THE MATTER OF THE COMPANIES' CREDITORS ARRANGEMENT
ACT, R.S.C. 1985, c. C-36, AS AMENDED (the "CCAA")
AND IN THE MATTER OF A PROPOSED PLAN OF COMPROMISE
OR ARRANGEMENT OF THE CCAA OF PURE GLOBAL CANNABIS
INC., PURESINSE INC., 237A ADVANCE INC., 237B ADVANCE INC.,
SPRQ HEALTH GROUP CORP.,and THEGREAT CANADIAN HEMP
COMPANY LTD. (each an “Applicant” and collectively, the “Applicants”)PLEASE TAKE NOTICEthat on March 19, 2020, the Applicants
commenced court-supervised restructuring proceedings under the
Companies’CreditorsArrangementAct(“CCAA”). Ernst & Young
Inc. has been appointed as monitor of the Applicants for these CCAA
proceedings ("Monitor") pursuant to the Order of the Ontario Superior
Court of Justice (Commercial List) (the "Court") dated March 19, 2020
(the "Initial Order").
Copies of the Initial Order and other related documents in connection
with these CCAA proceedings have been posted on the Monitor’s website
at: http://www.ey.com/ca/pureglobal
The Initial Order grants, among other things, a stay of proceedings (the
"Stay Period") and may be extended by the Court from time-to-time.
Except as permitted in the Initial Order, the Initial Order directs
Pure Global Cannabis Inc. to make no payments relating to the supply of
goods or services made prior to March 19, 2020.
During the Stay Period, all parties are prohibited from commencing or
continuing any legal proceedings against Pure Global Cannabis Inc.,
and all rights and remedies of all parties against or in respect of
the Applicants, their assets, business or respective employees are
stayed and suspended except with the written consent of the Monitor
or with leave of the Court.
No claims procedure has yet been submitted to, or approved by, the
Court and creditors are therefore not required to file proofs of claim
at this time.
The Monitor’s contact details for additional information relating to these
CCAA proceedings are:
Ernst & Young Inc. - The Court-Appointed
Monitor of Pure Global Cannabis Inc.
100 Adelaide Street West, P.O. Box 1
Toronto, ON, M5H 0B3 Canada
Hotline: 1-855-941-1843 or 416-941-1843
Email: [email protected]© 2020 Ernst & Young Inc.HYUNDAICAPITALBANK
EUROPE GMBH
FRANKFURTAMMAIN,GERMANYANNOUNCEMENTREGARDINGTHE
VOLUNTARYPUBLICTAKEOVEROFFERBY
HYUNDAICAPITALBANKEUROPEGMBHTO
THESHAREHOLDERSOFSIXTLEASINGSE
Theofferdocumentregardingthevoluntary
publictakeover offer of HyundaiCapitalBank
EuropeGmbH,Frankfurtam Main,Germany,to
the shareholders ofSixtLeasing SE,Germany
(ISIN:DE000A0DPRE6), has been approvedfor
publication bytheGermanFederalFinancial
Supervisory Authority (Bundesanstalt für
Finanzdienstleistungsaufsicht–“BaFin”). The
offer documentand a non-bindingEnglishtrans-
lationthereof,which has notbeen reviewed
byBaFin, are available onthe internetat http://www.
hcbe-offer.de and maybe ordered bysharehold-
ers ofSixtLeasing SEwhose place ofresidence,
seator place ofhabitual abode is inCanadafrom
DeutscheBankAktiengesellschaft,TAS, Post-IPO
Services, Taunusanlage 1 2 ,60325 Frankfurtam
Main,Germany,fax:+49 699103 8794, e-mail:
[email protected].
2 7March 2020
HyundaiCapitalBankEuropeGmbHNOTICE
Thisannouncementisneitheranoffertopurchase
nor a solicitation ofan offerto sell shares in Sixt
Leasing SE(the “SixtLeasingShares”). The vol-
untarypublictakeover offer by HyundaiCapital
BankEuropeGmbHtothe shareholders ofSixt
LeasingSEisexclusivelymadeonthebasisofthe
termssetoutintheofferdocument.Investorsand
holdersofSixtLeasingSharesarestronglyrecom-
mendedtoreadtheofferdocumentandalldocu-
ments in connectionwiththe voluntarypublic
takeoverofferassoonastheyarepublished,since
theycontainimportantinformation.HYUNDAICAPITALBANK
EUROPEGMBH
FRANCFORTSURLEMAIN,ALLEMAGNEANNONCECONCERNANTL’OFFREPUBLIQUE
D’ACHATVOLONTAIREFAITEPAR
HYUNDAICAPITALBANKEUROPEGMBH
AUXACTIONNAIRESDESIXTLEASINGSE
La publication dudocumentd’offre concernant
l’offre publique d’achatvolontairefaite par
HyundaiCapitalBankEuropeGmbH,Francfort
sur le Main,Allemagne, auxactionnaires de Sixt
Leasing SE,Allemagne(ISIN:DE000A0DPRE6),
aété approuvée par l’Autoritéfédérale de sur-
veillancefinancière allemande(Bundesanstalt
für Finanzdienstleistungsaufsicht–«BaFin»). Le
documentd’offre etunetraductionanglaise non
définitive de celui ci, qui n’a pas étéexaminée
par laBaFin, peuventêtre consultés surInternet
à l’adressewww.hcbe-offer.de etpeuventêtre
envoyés auxactionnaires de SixtLeasing SE
dontle lieude résidence, le siège oule domicile
habituelestauCanadaetquienfontlademande
auprès deDeutscheBankAktiengesellschaft,
TAS,Post-IPO Services, Taunusanlage 1 2 , 60325
Francfortsur le Main,Allemagne, partélécopieur
au+49 699103 8794 oupar courriel audct.
[email protected].
2 7mars 2020
HyundaiCapitalBankEuropeGmbH
AVIS
La présente annonce ne constitue pasune offre
d’achatni la sollicitation d’une offre de vente
d’actionsdeSixtLeasingSE(les«actionsdeSixt
Leasing»).L’offrepubliqued’achatvolontairepar
HyundaiCapitalBankEuropeGmbHauxaction-
naires de SixtLeasing SEestfaiteexclusivement
en conformité avec les modalités énoncées dans
ledocumentd’offre.Ilestfortementrecommandé
auxinvestisseursetauxporteursd’actionsdeSixt
Leasing de lire le documentd’offre ettous les
documentsserapportantàl’offrepubliqued’achat
volontairedèsqu’ilsserontpubliés,puisqu’ilscon-
tiennentdesrenseignementsimportants.FRIDAY, MARCH 27, 2020| THEGLOBEANDMAILO B3
Cirque du Soleil Entertainment
Group is exploring a restructur-
ing involving existing sharehol-
ders andgovernment assistance
to stave off bankruptcy after shut-
ting down all of its shows because
of the novel coronavirus, accord-
ing to a source familiar with the
matter.
The Montreal-based company
is not contemplating a bankrupt-
cy filing currently, according to
the source, but that might be an
option if the recapitalization
talks fail or if it’s unable to reopen
shows. The preferred outcome is
for existing investors to put in
new funds and to obtaingovern-
ment support. The Globe and
Mail is not identifying the source
because they were not authorized
to speak publicly on the issue.
“No decision has thus far been
taken,” said Caroline Couillard,
senior director of public relations
for the company. “Cirque du So-
leil Entertainment Group is work-
ing with all its partners, as well as
the federal and provincial gov-
ernments, to identify how to best
support the company and rebuild
once the global crisis subsides. ...As soon as we will be able to re-
open, we will become again the
profitable company we were.”
Cirque laid off 4,679 people last
week, about 95 per cent of its
work force, including 1,373 staff at
its head office. The company,founded in 1984, was forced to
close all 44 of its productions
around the world because of CO-
VID-19, and revenue has evapo-
rated. Chief executive Daniel La-
marre told The Globe at the time
that he was looking forward tothinking about how to get the
company back in business, and
he expressed optimism that its
show in China could reopen by
the end of April.
He also said he had spoken to
Pierre Fitzgibbon, Quebec’s Min-
ister of Economy and Innovation,
about government aid. Mr. Fitz-
gibbon said at a news conference
last week that thegovernment
was willing to ensure Cirque had
adequate liquidity to carry on.
“It’s a company that made money
before the crisis and will make
money as soon as things restart,”
he said.
Moody’s Investors Service
slashed its credit rating on Cirque
to junk status earlier this month,
citing its deteriorating cash flow
and “excessively high leverage.”
Moody’s estimated in December
that Cirque had just $35-million
of cash on hand and $85-million
available through a credit facility.
Meanwhile, Cirque is expected to
spend $165-million over the next
12 months on debt repayments
and ticket reimbursements for
cancelled shows, according to the
ratings agency.
In February, Caisse de dépôt et
placement du Québec increased
its stake in Cirque after buying
out founder Guy Laliberté and
doubling its holdings in the pri-
vately held company to 20 per
cent.CirqueduSoleilmullsrebuildtoavoidbankruptcy
Montreal-based
companysaysitis
exploringoptions
involvingshareholders,
governmenthelp
inbidtosavebusiness
JOECASTALDO
NICOLAS VAN PRAET
Two people walk by the Cirque du Soleil Big Top in Montreal on Saturday. The company says it’s not currently
considering filing for bankruptcy, but says it might be an option if recapitalization talks fail or if it’s unable to
reopen shows after cancelling events in face of the COVID-19 pandemic.GRAHAMHUGHES/THECANADIANPRESSA
ccess to credit is crucial to
the energy industry’s sur-
vival in the time of CO-
VID-19. As companies await a res-
cue package from Ottawa, a big
question is how to deliver it
without creating other troubles.
Following weeks of intense
talks between the industry and
governments, a multibillion-dol-
lar package of support is expect-
ed imminently. Industry officials
have suggested ways to help
banks and other lenders to ener-
gy companies offer leniency on
debt terms as markets skid ow-
ing to a price war between Saudi
Arabia and Russia, and the de-
struction of energy demand
globally due to the COVID-19 cri-
sis.
Executives have said they re-
quire aid with both liquidity and
costs through a painful time in
which cash flow has slowed to a
trickle. At stake are thousands of
jobs in exploration and produc-
tion as well as oil field services.
Bond-rating agencies empha-
sized the trouble in reports on
Thursday, saying the credit situa-
tion will likely worsen.
West Texas Intermediate crude
has tumbled 60 per cent since
the start of the year to settle on
Thursday at US$22.60 a barrel.
Western Canada Select heavy oil
was priced at US$6.10 a barrel, a
new low and a level that is far
below any company’s ability to
operate in the black. Indeed, it
has tumbled to about the price of
a large latte.
So what’s on tap for an aid
package? Under one industry
proposal, Ottawa could provide a
credit backstop for banks that
lend to the sector, rather than di-
rect loans. Such an arrangement
would recognize each company’s
varied needs, debt structure and
lending syndicate, and could be
done through federal Crown cor-
porations such as Business De-
velopment Bank of Canada and
Export Development Canada.
This could prevent banks from
pulling or reducing lines of credit
to energy and oil field service
companies when they are need-
ed the most, and when many are
at risk of breaching covenants,said Victor Vallance, senior vice-
president of energy at DBRS Mor-
ningstar, the bond-rating agency.
“You could offer interest-free
loans, but that could end up trig-
gering covenants on credit facil-
ities and maybe some of the oth-
er debt instruments out there. It
is complicated,” he said.
Finance Minister Bill Morneau
said on Wednesday that details of
a package could be announced in
“hours, potentially days.” He has
talked about support to bridge
the industry through the crisis as
well as funding to clean up and
reclaim aging oil and gas wells as
a way to protect jobs.
Another industry suggestion
is providing funding to help
companies remove liabilities tied
to future well cleanup from their
balance sheets. Banks currently
factor such obligations into bor-
rowers’ credit capacity, a situa-
tion that has become more
prominent since the Supreme
Court of Canada ruled any mon-
ey left over in an insolvency
must first go to environmental
requirements.
Emphasizing the predicament,
DBRS and Moody’s Investors Ser-
vice issued reports warning ofworsening credit as the econom-
ic crisis threatens to drag on.
Moody’s issued a negative out-
look for global integrated, explo-
ration and production, mid-
stream and refining sectors.
DBRS placed 11 producers and oil
field service companies, includ-
ing such names as Cenovus Ener-
gy Inc. Ovintiv Inc., Suncor Ener-
gy Inc. and Canadian Natural Re-
sources Ltd., under review with
negative implications.
“The primary risk is we get a
prolonged downturn in pricing,
because this COVID-19 continues
to be dealt with over the long
term. It doesn’t take a month or
two, it takes five, six months or
longer,” Mr. Vallance said. “We’ve
seen, right now, the demand for
crude oil and petroleum prod-
ucts has fallen off a cliff. On top
of that has been the breakup of
the OPEC-plus alliance, which
adds more problems.”
The industry has less flexibil-
ity in what spending it can cut
than it did during the last price
collapse 2014-16, DBRS said. In-
deed, it emerged from that era as
a group of more efficient oper-
ations, it said.
In a report this week titled ABreach in the Levee? Bank of No-
va Scotia weighed the risks of ex-
ploration and production com-
panies breaching debt covenants
should crude prices remain de-
pressed this year and next.
Small- and mid-size oil pro-
ducers such as Baytex Energy
Corp., Bonavista Petroleum
Corp., Delphi Energy Corp. and
Paramount Resources Ltd. are
the most vulnerable. The reasons
vary – from exposure to de-
pressed heavy oil prices to ap-
proaching debt maturities to
worsening debt-to-cash flow ra-
tios.
Among the best positioned for
the times are Advantage Oil &
Gas Ltd., ARC Resources Ltd.,
Birchcliff Energy Ltd., PrairieSky
Royalty Ltd. and Tourmaline Oil
Corp. – companies whose output
is more natural gas than oil, or
which provide lands for other
producers.
Canadian companies have al-
ready reined in costs at their dis-
posal, including slashing about
$6-billion of capital spending
plans and reducing dividends.
Scotia said future moves will in-
clude cutting overhead costs and
laying off staff.Whattheoilpatchneedsnowisabridgetorecovery
JEFFREY
JONES
OPINIONREPORTONBUSINESS|