Pure Global Cannabis Inc.
- Proceeding
- Receivership (court-appointed)SUBSECTION 243(1) OF THE BANKRUPTCY AND INSOLVENCY ACT, R.S.C. 1985, C. B-3, AS AMENDED AND SECTION 101 OF THE COURTS OF JUSTICE ACT, R.S.O. 1990, C. C.43, AS AMENDED
- File
- CV-20-00638503-00CL
- Industry
- Cannabis · Cannabis producers
Pure Global Cannabis Inc. has been under court-appointed receivership in the Ontario Superior Court of Justice (Commercial List) since May 1, 2020, when A. Farber & Partners Inc. was appointed receiver and manager under s. 243(1) of the Bankruptcy and Insolvency Act and s. 101 of the Courts of Justice Act, on the application of 2056706 Ontario Inc., Kozo Holdings Inc. and Cancor Debt Agency Inc. (court file CV-20-00638503-00CL). The receivership followed an Initial CCAA Order under which Ernst & Young Inc. acted as Monitor and which granted an Administration Charge of up to $200,000 and a DIP Lender's Charge to Hillmount Capital Inc., whose $1 million DIP loan was advanced in full before the Receivership Order. Secured claims include debentures held through Cancor with roughly $7.2 million of principal remaining after partial conversion to equity, from an original aggregate of $10 million maturing September 17, 2021, plus vendor-take-back and personal property security of $2.99 million registered by 2056706 against the 237A Property and $2.25 million registered by Kozo Holdings Inc. and Hadis Kozo against the 237B Property. As at the receiver's First Report of October 6, 2020, the full $500,000 authorized under the Receiver's Borrowing Charge had been borrowed from Kozo Holdings Inc. The proceeding remains active.
A claims procedure has been established — see the order for deadlines.
Per the Claims Process Order dated January 7, 2021 dated 7 January 2021.
The officer filed report no. Sixth Report. The Respondents' cannabis licence expired in December 2020 and their operating assets (237A and 237B Properties and PureSinse's business) have already been sold; the Receiver is now winding down the estate, resolving a related-party claims process, defending an appeal from TS Pharmaceutical, and preparing to make interim distributions.
Source: Sixth Report of the Receiver (without appendices) dated January 27, 2022
Motion Record of the Receiver (returnable February 7, 2022) dated January 27, 2022 — Application / notice of application
Motion Record of the Appellant (returnable October 21, 2021) dated October 12, 2021 — Application / notice of application
Reasons for Decision from the June 28, 2021 Hearing, issued August 16, 2021 — Endorsement / reasons
The officer filed report no. Fifth Report. The Respondents ceased all operations and terminated their employees in May 2020 while the Receiver liquidates their assets. The 237B Property and equipment sale to the Purchaser closed May 4, 2021, but the related share transaction has not closed, and the Purchaser has not engaged on it since.
The officer filed report no. Supplement to the Fourth Report. Receiver responds to the purchaser's motion record, defending its conduct and explaining that the APA was terminated on April 1, 2021 after the purchaser repeatedly failed to close; the Receiver has begun remarketing the property to other interested parties.
Source: Supplement to the Fourth Report of the Court-Appointed Receiver, dated April 29, 2021
The officer filed report no. Fourth Report. The Receiver terminated the APA and SPA with the Purchaser after repeated failures to close the sale of the Brampton property and PureSinse shares. It is re-engaging its sale advisor to remarket the Property and seeks court ratification and a revised schedule for the Post-Closing Covenant Dispute hearing.
Source: Fourth Report of the Court-Appointed Receiver (without appendices), dated April 15, 2021
Motion Record, dated April 15, 2021, returnable April 19, 2021 — Application / notice of application
The officer filed report no. Third Report. The receiver reports that the purchaser failed to close the court-approved asset sale on the January 18, 2021 closing date, citing the expiry of the Cannabis Licence on December 28, 2020. The receiver disputes the purchaser's position and seeks an order that the purchaser close by February 10, 2021, failing which it will seek a declaration that the deposit is forfeited.
Source: Third Report of the Court-Appointed Receiver (without appendices), dated January 22, 2021
The court granted an approval and vesting order for the sale to TS Pharmaceutical Ltd. Sealed: summary of offers received in the Second Sale Process, unredacted Asset Purchase Agreement, proposed distribution waterfall of net proceeds.
The officer filed report no. Supplement to the Second Report. The Cannabis License of PureSinse expired on December 28, 2020 because renewal documents were not submitted in time; Health Canada confirmed it is no longer valid, and the Receiver and Purchaser are working on the issues arising from the failure to renew.
Source: Supplement to the Second Report of the Court-Appointed Receiver, dated January 6, 2021
The officer filed report no. Second Report. The Respondents' business has ceased: the cannabis inventory was destroyed in May 2020 and none remains on site, and CRA terminated the CRA Cannabis License effective September 16, 2020. The Receiver is completing the sale of the remaining assets (237B Property, PureSinse equipment and PureSinse shares) to TS Pharmaceutical Ltd. and seeking approval of a claims process for 237A and 237B.
Source: Second Report of the Court-Appointed Receiver (without appendices), dated December 24, 2020
Motion Record, dated December 24, 2020, returnable January 7, 2021 — Application / notice of application
The court granted an approval and vesting order for the sale to 2423454 Ontario Inc. Closing terms, as extracted: vesting effective upon delivery of Receiver's Certificate confirming payment and satisfaction/waiver of closing conditions. Sealed: summary of the offers received in the Sale Process, unredacted copy of the Asset Purchase Agreement, appraisal of D. Bettero and Associates Limited, proposed distribution waterfall of the net proceeds.
First Report of the Court-Appointed Receiver (without appendices), dated October 6, 2020 — Court officer report
Motion Record, dated October 6, 2020, returnable October 13, 2020 — Application / notice of application
Appointed A. Farber & Partners Inc. receiver and manager over the Pure Global group's property and granted a priority Receiver's Borrowing Charge of up to $500,000.
Monitor’s Motion Record re Approval of Activities, dated April 23, 2020 — Application / notice of application
Responding Motion Record of MMCAP International Inc., dated April 23, 2020 — Response / objection pleading
Notice of motion dated April 21, 2020 opened the matter in the Ontario Superior Court of Justice under file number CV-20-00638503-00CL, fixing the commencement date.
Source: Motion Record re Increase in DIP Facility and Stay Extension, dated April 21, 2020
Undated filings2 — no date appears on the document · show
Debtor
Pure Global Cannabis Inc.
Receiver
A. Farber & Partners
Bench
| Judge | Court | On this docket | Cases on record |
|---|---|---|---|
| Justice Hainey | Ontario Superior Court of Justice | 8 orders, May 2020 – Jun 2021 | 211 cases on record |
Counsel of record
| Party | Counsel | First seen | Source |
|---|---|---|---|
| MonitorErnst & Young Inc | Osler, Hoskin & Harcourt LLP | 23 Apr 2020 | Application · 23 Apr 2020 |
| ReceiverA. Farber & Partners | Thornton Grout Finnigan LLP | 13 Oct 2020 | Factum · 4 Jan 2021 |
| DebtorPure Global Cannabis Inc. | Thornton Grout Finnigan LLP | 22 Dec 2021 | Factum · 22 Dec 2021 |
| CreditorA. Farber & Partners Inc | Thornton Grout Finnigan LLP | 13 Oct 2020 | Order · 13 Oct 2020 |
| CreditorCancor Debt Agency Inc | Chaitons LLP | 23 Apr 2020 | Factum · 23 Apr 2020 |
| CreditorKozo Holdings Inc | Keyser Mason Ball, LLP | 23 Apr 2020 | Factum · 23 Apr 2020 |
| Priority class | Creditor | Amount | Source |
|---|---|---|---|
| Secured | Debenture Holders (represented by Cancor Debt Agency Inc.) · in 3 casesGeneral security agreement granted by Pure Global and PureSinse; secured debentures, original aggregate principal $10 million, maturing September 17, 2021 — Approximate current remaining principal balance of $7.2 million after partial conversion to equity; original aggregate principal was $10 million — debtor: Pure Global Cannabis Inc. and PureSinse Inc. | $7.2M | First Report of the Court-Appointed Receiver (without appendices), dated October 6, 2020 |
| Secured | |||
| Secured | |||
| Secured | |||
| Secured | |||
| Secured |
5 more claims in 1 class The stack holds Secured claims.
Every creditor and every amount, drawn to scale.
Card required. Nothing charged for 5 days. Cancel anytime.
Already a subscriber? Sign in.
See all plansThis proceeding was commenced by a secured creditor. The record does not include the debtor’s own statement of assets and liabilities — that ceiling is the record’s, not this page’s.
5 transactions · 2 terminated · 2 not completed · 1 approved — Asset transaction closed May 4, 2021 after multiple missed closing deadlines by the Purchaser; the related share purchase agreement was terminatedFifth Report of the Receiver dated May 27, 2021 · 27 May 2021
| Purchaser | Price | Status | Source |
|---|---|---|---|
| party that bid for all assets of the Respondents, deposit default led to terminationall of the assets of the Respondents · asset sale | not stated | Terminated | First Report of the Court-Appointed Receiver… |
| bidder interested in purchasing shares of Pure Global, unnamedthe shares of Pure Global · share sale | not stated | Terminated | First Report of the Court-Appointed Receiver… |
| 2423454 Ontario Inc.the Respondents' right, title and interest in the 237A Property · real property · agreement 8 Sep 2020 | Subscribers | Approved13 Oct 2020 | Approval and Vesting Order dated October 13,… |
| TS Pharmaceutical Ltd.the Respondents' right, title and interest in the Purchased Assets · asset sale · ResidualCo: 12622696 Canada Inc. · agreement 26 Nov 2020 | Subscribers | Not completed4 May 2021 | Sixth Report of the Receiver (without… |
| TS Pharmaceutical Ltd.all of the issued and outstanding common shares of PureSinse · share sale · agreement 23 Dec 2020 | Subscribers | Not completed | Sixth Report of the Receiver (without… |
remaining Respondents: no distribution. Pure Global a distribution · PureSinse a distribution.Sixth Report of the Receiver (without appendices) · 27 Jan 2022
| Class | Creditor | Claims | Recovery | Basis | Source |
|---|---|---|---|---|---|
| SecuredCollateral Agent as remaining secured creditor of PureSinse and Pure Global | Cancor Debt Agency Inc. (Collateral Agent) | — | interimcumulative | Estimatedper the receiver | Sixth Report of the Receiver (without appendices) · 27 Jan 2022 |
| Equity | Pure Global | — | Estimatedper the receiver | Sixth Report of the Receiver (without appendices) · 27 Jan 2022 | |
| class not placed | remaining Respondents | — | no distribution | per the receiver | Sixth Report of the Receiver (without appendices) · 27 Jan 2022 |
| class not placedPureSinse (237A Claim) | PureSinse | — | Estimatedper the receiver | Sixth Report of the Receiver (without appendices) · 27 Jan 2022 |
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.
3 blurred figures above
The claims and what each class or creditor recovers — each as the filing states it, with its source.
Card required. Nothing charged for 5 days. Cancel anytime.
Already a subscriber? Sign in.
See all plans2 engagements · 2 firms — latest: Osler, Hoskin & Harcourt LLP, 17 Mar – 14 Apr 2020, incl. taxMonitor’s Motion Record re Approval of Activities · 23 Apr 2020
| Firm | Period | Hours | Fees | Rates | Source | |||||||||||||||||||||||||||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Ernst & Young Inc.Monitor | 9 Mar – 10 Apr 2020Sought | 5 people | Monitor’s Motion Record re Approval of Activities · 23 Apr 2020 | |||||||||||||||||||||||||||||||||||||
5 people — Ernst & Young Inc., 9 Mar – 10 Apr 2020 · 10 blurred figures
| ||||||||||||||||||||||||||||||||||||||||
| Osler, Hoskin & Harcourt LLPCounsel to the monitor | 17 Mar – 14 Apr 2020Sought | — | 6 people | Monitor’s Motion Record re Approval of Activities · 23 Apr 2020 | ||||||||||||||||||||||||||||||||||||
6 people — Osler, Hoskin & Harcourt LLP, 17 Mar – 14 Apr 2020 · 12 blurred figures
| ||||||||||||||||||||||||||||||||||||||||
27 blurred figures above
What each firm billed, and each person’s hours and rate — each as the filing states it, with its source.
Card required. Nothing charged for 5 days. Cancel anytime.
Already a subscriber? Sign in.
See all plansCumulative receipts
$12.7M
As at 31 Dec 2021Sixth Report of the Receiver (without appendices) dated January 27, 2022
Cumulative disbursements
As at
Cash on hand
As at
Professional fees
As at
3 more reported figures
Each one as the filing states it, with its source.
Card required. Nothing charged for 5 days. Cancel anytime.
Already a subscriber? Sign in.
See all plans| Date | Document | File |
|---|---|---|
Interim Distribution Order dated February 7, 2022
| PDF · Subscribers | |
| Motion Record of the Receiver (returnable February 7, 2022) dated January 27, 2022 | PDF · Subscribers | |
Sixth Report of the Receiver (without appendices) dated January 27, 2022
| PDF · Subscribers | |
| Service List (as at January 25, 2022) | PDF · Subscribers | |
| Compendium of the Respondent dated December 22, 2021 | PDF · Subscribers | |
Factum of the Respondent dated December 22, 2021
| PDF · Subscribers | |
| Appeal Book and Compendium dated November 4, 2021 | PDF · Subscribers | |
| Appellant’s Factum dated November 4, 2021 | PDF · Subscribers | |
Consent Order dated October 21, 2021
| PDF · Subscribers | |
| Motion Record of the Appellant (returnable October 21, 2021) dated October 12, 2021 | PDF · Subscribers | |
| Reasons for Decision (Costs) dated September 22, 2021 | PDF · Subscribers | |
Order of Justice Dunphy, dated June 28, 2021
| PDF · Subscribers | |
| Reasons for Decision from the June 28, 2021 Hearing, issued August 16, 2021 | PDF · Subscribers | |
| Reply Record of the Purchaser dated June 7, 2021 | PDF · Subscribers | |
Endorsement of Hainey J. dated June 1, 2021
| PDF · Subscribers | |
Fifth Report of the Receiver dated May 27, 2021
| PDF · Subscribers | |
| Responding Motion Record of the Receiver dated May 27, 2021 | PDF · Subscribers | |
| Motion Record of the Purchaser returnable May 31, 2021 | PDF · Subscribers | |
Receivers Certificate dated May 4, 2021
| PDF · Subscribers | |
Supplement to the Fourth Report of the Court-Appointed Receiver, dated April 29, 2021
| PDF · Subscribers | |
| Affidavit of Saurabh Singhal sworn April 17, 2021 | PDF · Subscribers | |
| Factum of the Purchaser for the Motion returnable April 19, 2021 | PDF · Subscribers | |
Fourth Report of the Court-Appointed Receiver (without appendices), dated April 15, 2021
| PDF · Subscribers | |
| Motion Record of the Purchaser dated April 15, 2021 | PDF · Subscribers | |
| Motion Record, dated April 15, 2021, returnable April 19, 2021 | PDF · Subscribers | |
| Endorsement of Hainey J. dated February 25, 2021 | PDF · Subscribers | |
| Proof of Claim | PDF · Subscribers | |
| Affidavit of Saurabh Singhal sworn January 22, 2021 | PDF · Subscribers | |
Third Report of the Court-Appointed Receiver (without appendices), dated January 22, 2021
| PDF · Subscribers | |
Approval and Vesting Order dated January 7, 2021
| PDF · Subscribers | |
Claims Process Order dated January 7, 2021
| PDF · Subscribers | |
| Endorsement of Hainey J. dated January 7, 2021 | PDF · Subscribers | |
Notice to Claimants
| PDF · Subscribers | |
Supplement to the Second Report of the Court-Appointed Receiver, dated January 6, 2021
| PDF · Subscribers | |
Factum of the Receiver dated January 4, 2021
| PDF · Subscribers | |
| Motion Record, dated December 24, 2020, returnable January 7, 2021 | PDF · Subscribers | |
Second Report of the Court-Appointed Receiver (without appendices), dated December 24, 2020
| PDF · Subscribers | |
Administration Order dated October 13, 2020
| PDF · Subscribers | |
Approval and Vesting Order dated October 13, 2020
| PDF · Subscribers | |
Endorsement of Justice Hainey dated October 13, 2020
| PDF · Subscribers | |
First Report of the Court-Appointed Receiver (without appendices), dated October 6, 2020
| PDF · Subscribers | |
| Motion Record, dated October 6, 2020, returnable October 13, 2020 | PDF · Subscribers | |
| Pure Global Cannabis Inc. – BCSC Cease Trade Order, dated July 8, 2020 | PDF · Subscribers | |
Endorsement of Justice Hainey, dated May 1, 2020
| PDF · Subscribers | |
Order of Justice Hainey, dated May 1, 2020
| PDF · Subscribers | |
| Affidavit of Christel Paul, dated April 23, 2020 | PDF · Subscribers | |
Monitor’s Motion Record re Approval of Activities, dated April 23, 2020
| PDF · Subscribers | |
| Responding Motion Record of MMCAP International Inc., dated April 23, 2020 | PDF · Subscribers | |
Summary of Arguments of the Objecting Secured Creditors, dated April 23, 2020
| PDF · Subscribers | |
Motion Record re Increase in DIP Facility and Stay Extension, dated April 21, 2020
| PDF · Subscribers | |
| Dispute Notice | PDF · Subscribers | |
| Notice of Revision or Disallowance of Claim | PDF · Subscribers | |
Filing titles and dates are public, and so is each filing's own page. The figures read from them are for subscribers.
CiteProceedings., “Pure Global Cannabis Inc.” (Receivership (court-appointed)), Ontario Superior Court of Justice. Retrieved 4 November 2026, https://proceedings.ca/case/pure-global-cannabis-inc