Proceedings.

Paystone Holdings Inc., Paystone Inc., Atom Growth Inc. and Atom Growth (USA), Inc.

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Active
Proceeding
CCAACompanies' Creditors Arrangement Act, R.S.C. 1985, c. C-36, as amended
Court
Ontario Superior Court of Justice · Commercial List
File
CL-26-00000261-0000
Industry
Technology, media & telecom · Software & IT services
Filings held69
Last activity16 Oct 2026
On the record153 days
OverviewSummary updated

Paystone Holdings Inc., Paystone Inc., Atom Growth Inc. and Atom Growth (USA), Inc. have been under CCAA protection in the Ontario Superior Court of Justice (Commercial List) since June 5, 2026, in court file CL-26-00000261-0000. The group operates three business lines: payment solutions and payment processing; loyalty, gift card and customer engagement programs; and marketing, reputation and customer growth software. The proceedings are intended to stabilise operations in the ordinary course long enough to complete a going-concern transaction with minimal customer loss. The initial stay ran to June 15, 2026, when the court made a further interim order. On July 10, 2026 the court approved a sale and investment solicitation process to be conducted by the Monitor, with bids due by 5:00 p.m. on August 4, 2026. An Administration Charge of $745,000 secures the Monitor, the Monitor's counsel, the CRO and the Applicants' counsel ahead of all other security interests, liens and secured creditor claims.

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Case updates70 dated entries
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Case update

Paystone: the owners buy it back

In June, Justice Myers refused to let a company controlled by Paystone's principals buy the business. On August 27, Justice Dunphy approved a sale to the same numbered company — after a monitor-run process in which fourteen prospects were canvassed, nine signed NDAs, three bid, and the only rival offer for the whole business died on a single fact: it needed Sandton, owed $92.2 million, to stay on as lender to new owners, and Sandton said no.

Filing brief

Paystone: the bidder who has to help the other bidders

Justice Myers refused Paystone's non-arm's-length prepack in June, on the ground that management was to receive value for equity a balance-sheet insolvency says is worthless. On July 10 he approved a sale process run by the Monitor instead — one in which management may bid, and must hand over the information its competitors will use.

Filing brief

Paystone: the owners want to buy it back, and BDC got a few hours' notice

A payments company's lending syndicate sold out to a distressed fund at a steep discount. Ten days after the initial order, the company intends to seek approval of a sale to a buyer controlled by its own ultimate owners — assuming the new senior debt and leaving the subordinated secured debt, the notes and most of the trade debt unpaid. The subordinate secured creditor learned about the first-day hearing hours before it happened.

Parties

Debtor

Paystone Holdings Inc., Paystone Inc., Atom Growth Inc. and Atom Growth (USA), Inc.

Monitor

KSV

Bench and counselPer the orders and service lists on the record

Bench

JudgeCourtOn this docketCases on record
Justice MyersOntario Superior Court of Justice12 orders, Jun 2026 – Sep 2026117 cases on record
Justice DunphyOntario Superior Court of Justice4 orders, Aug 202693 cases on record
Justice SteeleOntario Superior Court of Justice2 orders, Oct 2026245 cases on record

Counsel of record

PartyCounselFirst seenSource
MonitorKSVOsler, Hoskin & Harcourt LLP9 Jul 2026Factum · 9 Jul 2026
ApplicantPaystone Holdings Inc., Paystone Inc., Atom Growth Inc. and Atom Growth (USA), Inc.Bennett Jones LLP5 Jun 2026Order · 30 Jun 2026
CreditorBDC Capital IncMcMillan LLP9 Jul 2026Factum · 9 Jul 2026
CreditorCBGF 2021, LP and Canadian Business Growth Fund, LPNaymark Law31 Jul 2026Service list · 31 Jul 2026
CreditorCIC Capital Canada IncWeirFoulds LLP31 Jul 2026Service list · 31 Jul 2026
CreditorElavon, IncBorden Ladner Gervais LLP31 Jul 2026Service list · 31 Jul 2026
CreditorKevin RefahMiller Thomson LLP31 Jul 2026Service list · 31 Jul 2026
CreditorMr. LevelyCassels Brock & Blackwell LLP31 Jul 2026Service list · 31 Jul 2026
CreditorNational Bank of CanadaThornton Grout Finnigan LLP31 Jul 2026Service list · 31 Jul 2026
CreditorRAMP InteractiveBorden Ladner Gervais LLP31 Jul 2026Service list · 31 Jul 2026
CreditorRoyal Bank of CanadaDentons Canada LLP31 Jul 2026Service list · 31 Jul 2026
CreditorSandton Investments X (Luxembourg) S.à r.lGoodmans LLP9 Jul 2026Factum · 9 Jul 2026
CreditorSteve Levely and Shopley IncDentons Canada LLP31 Jul 2026Service list · 31 Jul 2026
CreditorWalter AndriChaitons LLP19 Jun 2026Endorsement · 19 Jun 2026
Capital structureAs asserted in the filings
stated amounts, drawn to scale · for subscribers
#Priority classCreditorAmountSource
Court-ordered charges
1Court-ordered chargesAdministration Charge — shall rank in priority to all other security interests, trusts, liens, charges and encumbrances, and claims of secured creditors, statutory or otherwise$745KInitial Order dated June 5, 2026
Pre-filing debt
4Secured
4Secured
4Secured
4Secured
4Secured
8Unsecured
8Unsecured

7 more claims in 2 classes The stack holds Court-ordered charges, Secured and Unsecured claims.

Every creditor and every amount, drawn to scale.

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Sale processAs stated in the filings

2 transactions · 2 approved — The Monitor determined 100 Ontario's Bid was the Successful Bid; the AVO approving the APA was issued August 27, 2026; closing has not yet occurred and the outside date was extended to November 13, 2026.Seventh Report of the Monitor dated October 9, 2026 · 9 Oct 2026

Bid deadline (round closed)

4 August 2026

SISP Approval Order dated July 10, 2026

PurchaserPriceStatusSource
1001632600 Ontario Inc.Related to bidderthe Applicants' right, title and interest in and to the assets described in the APA (the 'Purchased Assets') · asset sale · agreement 18 Aug 2026SubscribersApproved27 Aug 2026Approval and Vesting Order dated August 27, 2026
1001632600 Ontario Inc.Related partya going-concern sale of substantially all of the Applicants' business and assets · asset sale · agreement 18 Aug 2026SubscribersApprovedoutside 31 Aug 2026Sixth Report of the Monitor dated September 15,…
Closing termsvesting effective upon delivery of Monitor's Certificate confirming payment, satisfaction of conditions, Sandton confirmation of New Credit Agreement, and completion of Sale TransactionApproval and Vesting Order dated August 27, 2026
RecoveriesAs stated in the filings

BDC Capital Inc.: no recovery.EstimatedThird Report of Monitor · 30 Jun 2026

ClassCreditorClaimsRecoveryBasisSource
UnsecuredBDC Capital Inc.assertedno recoveryconditionalEstimatedThird Report of Monitor · 30 Jun 2026

Each row is one filing's statement, copied as it reads and never computed. "Estimated" is the officer's forecast; "Under the plan" is the plan's or proposal's own term; "Final" is a declared or paid distribution; a row with no chip states no footing. A range is the two numbers stated; "of proven claims" is the document's own denominator.

1 blurred figure above

The claims and what each class or creditor recovers — each as the filing states it, with its source.

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Estate financialsReported figures — never derived
Total assets at filing
Total liabilities at filing

As at ·

Cumulative receipts

$13.6K

As at 6 Jul 2026Fourth Report of the Monitor dated July 6, 2026

Cash on hand

As at

Professional fees

As at

2 more reported figures, and the 2 totals the debtor stated at filing

Each one as the filing states it, with its source.

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Documents
69 filings
DateDocumentFile
Endorsement of Justice Steele dated October 16, 2026
  • Presiding officer Justice Steele
PDF · Subscribers
Service List as at October 16, 2026
  • Counsel Osler, Hoskin & Harcourt LLP
PDF · Subscribers
Stay Extension Order dated October 16, 2026
  • Counsel Bennett Jones LLP
  • Order date 16 October 2026
  • Presiding officer Justice Steele
  • Stay extended to 13 November 2026
PDF · Subscribers
Factum of the Applicants dated October 13, 2026PDF · Subscribers
Motion Record of the Applicants dated October 9, 2026
  • Financial position · Secured creditors · Unsecured creditors Subscribers
PDF · Subscribers
Seventh Report of the Monitor dated October 9, 2026
  • Purchaser 1001632600 Ontario Inc. (related to bidder) · the business and assets of the Applicants · asset sale · approved
  • Sale outcome Sale approved — The Monitor determined 100 Ontario's Bid was the Successful Bid; the AVO approving the APA was issued August 27, 2026; closing has not yet occurred and the outside date was extended to November 13, 2026.
  • Financial position · Secured creditors Subscribers
  • + 2 more extracted facts
PDF · Subscribers
Endorsement of Justice FL Myers dated September 18, 2026
  • Presiding officer Justice F.L. Myers
PDF · Subscribers
Stay Extension Order dated September 18, 2026
  • Counsel Bennett Jones LLP
  • Order date 18 September 2026
  • Presiding officer Justice Myers
  • Stay extended to 16 October 2026
PDF · Subscribers
Service List as at September 17, 2026
  • Counsel Borden Ladner Gervais LLP
PDF · Subscribers
Factum of the Applicants dated September 16, 2026PDF · Subscribers
Sixth Report of the Monitor dated September 15, 2026
  • Purchaser 1001632600 Ontario Inc. (related party) · the business and assets of the Applicants · asset sale · not completed; 1001632600 Ontario Inc. · the business and assets of the Applicants · asset sale · approved
  • Sale outcome Sale approved — The Transaction has been approved by the Court and the parties are working to close it, with the outside date extended; closing had not yet occurred as of this report.
  • Stalking horse Subscribers
PDF · Subscribers
Motion Record of the Applicants dated September 14, 2026PDF · Subscribers
Service List as at September 4, 2026
  • Counsel Naymark LLP
PDF · Subscribers
Ancillary Order dated August 27, 2026
  • Counsel Osler, Hoskin & Harcourt LLP
  • Presiding officer Justice Dunphy
PDF · Subscribers
Approval and Vesting Order dated August 27, 2026
  • Closing terms vesting effective upon delivery of Monitor's Certificate confirming payment, satisfaction of conditions, Sandton confirmation of New Credit Agreement, and completion of Sale Transaction
  • Counsel Osler, Hoskin & Harcourt LLP
  • Order date 27 August 2026
  • Presiding officer Justice Dunphy
  • + 3 more extracted facts
PDF · Subscribers
Assignment Order dated August 27, 2026
  • Counsel Osler, Hoskin & Harcourt LLP
  • Presiding officer Associate Judge Service
PDF · Subscribers
Endorsement of Justice Dunphy dated August 27, 2026
  • Presiding officer Justice Dunphy
PDF · Subscribers
Factum of the Monitor dated August 24, 2026
  • Counsel Osler, Hoskin & Harcourt LLP
PDF · Subscribers
Affidavit of Abdullah Saab dated August 22, 2026PDF · Subscribers
Service List as at August 22, 2026
  • Counsel McMillan LLP
PDF · Subscribers
Fifth Report of Monitor dated August 21, 2026
  • Operational summary The Monitor completed a court-supervised sale process (SISP) and selected a related-party bid from 100 Ontario as the Successful Bid after no bid provided sufficient cash to repay Sandton in full; the Applicants continue operating in the ordinary course pending closing of the going-concern sale transaction, which will preserve employment for substantially all employees.
  • Cash on hand · Disbursements · Financial position Subscribers
  • + 7 more extracted facts
PDF · Subscribers
Fifth Report of the Monitor dated August 21, 2026
  • Purchaser 1001632600 Ontario Inc. (related party) · the business and assets of the Applicants · asset sale · proposed; 1001632600 Ontario Inc. (related party) · a going-concern sale of substantially all of the Applicants' business and assets · asset sale · not completed
  • Sale outcome Approval pending — Following completion of the SISP, the Monitor selected the revised bid submitted by 100 Ontario as the Successful Bid
  • Stalking horse Subscribers
PDF · Subscribers
Motion Record of the Monitor dated August 21, 2026PDF · Subscribers
Service List as at August 21, 2026
  • Counsel Goodmans LLP
PDF · Subscribers
Service List as at July 31, 2026
  • Counsel McMillan LLP
PDF · Subscribers
DIP Approval and BNS Charge Order dated July 10, 2026
  • Presiding officer Justice Myers
PDF · Subscribers
Endorsement of Justice Myers dated July 10, 2026
  • Presiding officer Justice Myers
PDF · Subscribers
SISP Approval Order dated July 10, 2026
  • Bid deadline 4 August 2026
  • Counsel Osler, Hoskin & Harcourt LLP
  • Order date 10 July 2026
  • Break fee Subscribers
  • + 4 more extracted facts
PDF · Subscribers
Affidavit of Thomas Gray dated July 9, 2026PDF · Subscribers
Factum of the Applicants dated July 9, 2026PDF · Subscribers
Factum of the Monitor dated July 9, 2026
  • Counsel Osler, Hoskin & Harcourt LLP
PDF · Subscribers
Factum of the Respondent, BDC Capital Inc. re SISP Approval Motion dated July 9, 2026
  • Counsel McMILLAN LLP
PDF · Subscribers
Reply Brief of Sandton Investment X dated July 9, 2026
  • Counsel Goodmans LLP
PDF · Subscribers
Fourth Report of the Monitor dated July 6, 2026
  • Operational summary The Applicants require a loan to fund their normal-course operations and professional fees associated with the CCAA Proceedings, including the proposed SISP to be conducted by the Monitor.
  • Purchaser 1001632600 Ontario Inc. (related party) · a sale transaction · asset sale · not completed
  • Cash on hand · Professional fees Subscribers
  • + 6 more extracted facts
PDF · Subscribers
Motion Record dated July 6, 2026PDF · Subscribers
Motion Record of the Monitor dated July 6, 2026PDF · Subscribers
Sale and Investment Solicitation Process (SISP)
  • Bid deadline 4 August 2026
  • Outside date 31 August 2026
  • Break fee · Stalking horse Subscribers
PDF · Subscribers
Notice of Appearance dated July 2, 2026PDF · Subscribers
Endorsement of Justice Myers dated June 30, 2026
  • Presiding officer Justice Myers
PDF · Subscribers
Stay Extension Order dated June 30, 2026
  • Counsel Bennett Jones LLP
  • Presiding officer Justice Myers
  • Stay extended to 10 July 2026
PDF · Subscribers
Third Report of Monitor dated June 30, 2026
  • Operational summary Since the June 24 Endorsement, the Applicants and the Monitor have engaged with the Applicants' various stakeholders to advance the terms of a sale and investment solicitation process (SISP) to be led by the Monitor and an interim financing facility (DIP Facility) to support operations through closing of a transaction with a successful bidder, as well as address issues raised by the Bank of Nova Scotia (BNS).
  • Cash on hand · Professional fees · Receipts cumulative Subscribers
  • + 3 more extracted facts
PDF · Subscribers
Factum of the Applicants dated June 29, 2026PDF · Subscribers
Motion Record of Applicants dated June 29, 2026PDF · Subscribers
Endorsement of Justice Myers dated June 24, 2026
  • Presiding officer Justice Myers
PDF · Subscribers
Notice of Appearance dated June 23, 2026PDF · Subscribers
Factum of BDC Capital Inc. dated June 22, 2026PDF · Subscribers
Notice of Appearance of Steve Levely and Shopley Inc. dated June 22, 2026PDF · Subscribers
Supplement to the Second Report of the Monitor dated June 22, 2026
  • Report date 22 June 2026
  • Cash on hand · Professional fees · Receipts cumulative Subscribers
PDF · Subscribers
Factum of the Applicants dated June 21, 2026PDF · Subscribers
Reply Affidavit of Adam Zalev dated June 21, 2026
PDF · Subscribers
Supplementary Affidavit of Imran Malik (BDC Capital Inc.) affirmed June 21, 2026
PDF · Subscribers
Motion Record of BDC Capital Inc. dated June 19, 2026PDF · Subscribers
Notice of Appearance of Walter Andri dated June 19, 2026
  • Counsel Chaitons LLP
PDF · Subscribers
Second Report of the Monitor dated June 19, 2026
  • Operational summary The Company’s operations are focused on providing customers with specialized products and services across its three primary business lines: payment solutions and payment processing; loyalty, gift card and customer engagement programs; and marketing, reputation and customer growth software.
  • Cash on hand · Professional fees · Receipts cumulative Subscribers
  • + 2 more extracted facts
PDF · Subscribers
Amended and Restated Initital Order dated June 15, 2026
  • Commencement date 5 June 2026
  • Counsel Bennett Jones LLP
  • Court Ontario Superior Court of Justice (Commercial List)
  • Debtor names Paystone Holdings Inc.; Paystone Inc.; Atom Growth Inc.; Atom Growth (USA), Inc.
  • + 4 more extracted facts
PDF · Subscribers
Endorsement of Justic Myers dated June 15, 2026
  • Presiding officer Justice F.L. Myers
PDF · Subscribers
Notice of Appearance of Royal Bank of Canada dated June 15, 2026PDF · Subscribers
CCAA Notice to Creditors dated June 12, 2026PDF · Subscribers
Factum of the Applicants dated June 12, 2026PDF · Subscribers
First Report of the Monitor dated June 12, 2026
  • Operational summary The CCAA proceedings are intended to create a stabilized environment to allow the Applicants to continue operating in the ordinary course and complete a going-concern transaction with minimal disruption and loss of customers.
  • Cash on hand · Professional fees · Receipts cumulative Subscribers
  • + 2 more extracted facts
PDF · Subscribers
Notice of Appearance of National Bank of Canada dated June 10, 2026PDF · Subscribers
Application Record dated June 5, 2026 - Volume 1 of 2
  • Applicant Paystone Holdings Inc., Paystone Inc., Atom Growth Inc., and Atom Growth (USA), Inc.
  • Appointee KSV Restructuring Inc.
  • Appointee role Proposed Monitor
  • Commencement date 5 June 2026
  • + 4 more extracted facts
PDF · Subscribers
Application Record dated June 5, 2026 - Volume 2 of 2
PDF · Subscribers
BDC Capital Inc. - Notice of Appearance dated June 5, 2026PDF · Subscribers
Endorsement of Justice Myers dated June 5, 2026
  • Presiding officer Justice Myers
PDF · Subscribers
Factum of the Applicants dated June 5, 2026PDF · Subscribers
Initial Order dated June 5, 2026
  • Applicant PAYSTONE HOLDINGS INC., PAYSTONE INC., ATOM GROWTH INC., and ATOM GROWTH (USA), INC.
  • Appointee KSV Restructuring Inc.
  • Appointee role Monitor
  • Charges Subscribers
  • + 11 more extracted facts
PDF · Subscribers
Pre-Filing Report of the Proposed Monitor dated June 5, 2026
PDF · Subscribers
Preliminary List of Known CreditorsPDF · Subscribers

Filing titles and dates are public, and so is each filing's own page. The figures read from them are for subscribers.

CiteProceedings., “Paystone Holdings Inc., Paystone Inc., Atom Growth Inc. and Atom Growth (USA), Inc.” (CCAA), Ontario Superior Court of Justice · Commercial List. Retrieved 4 November 2026, https://proceedings.ca/case/paystone-holdings-inc-paystone-inc-atom-growth-inc-and-atom-growth-usa-inc

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Sources last checked · summary updated 5 August 2026 · Report a correction · Printed from proceedings.ca/case/paystone-holdings-inc-paystone-inc-atom-growth-inc-and-atom-growth-usa-inc

Facts and summaries are extracted automatically from the court filings linked on each page; the filings remain the authoritative record. Suggested corrections are reviewed against the source filings.