British Columbia · Receivership (court-appointed)
Second Report of the Receiver
Court officer report · 18 September 2026
AI summary
A plain-English summary drawn only from this filing: what it is, why it matters, and the parties, amounts and dates it turns on.
What we verified from this filing12 verified
- secured creditorsnote: Approximately $2.4 million owed as at the Receivership Date (July 16, 2026); stated as approximate in prose. BMO's security and repayment rights are subordinated to those of Lifespan under the Second Amended and Restated Priority, Subordination and Standstill Agreement dated July 31, 2025 between BMO, Lifespan and others. · page: 3 · as of: 2026-07-16 · amount: 2400000 · debtor: 1145643 B.C. Ltd. · creditor: Bank of Montreal · currency: CAD
- secured creditorsnote: APA definition: $3,295,718.26 as of June 12, 2026, plus accruing interest, fees (including legal fees on a full indemnity basis), costs and expenses. Receiver's report separately states approximately $3.3 million owed as at the Receivership Date (July 16, 2026), advanced to revitalize the business and expand the franchise network. $2,000,000 of the debt is to be credit bid under the stalking horse APA. Lifespan holds priority over BMO under the subordination agreement. · page: 19 · as of: 2026-06-12 · amount: 3295718.26 · debtor: Innovative Fitness (Wrkout Holdings Ltd., 1145643 B.C. Ltd., Innovative Fitness Canada Ltd.) · creditor: Lifespan Holdings Inc. · currency: CAD · security: Senior secured lender; Credit Bid Debt arises under the Second Amended and Restated Loan Agreement dated July 31, 2025, the Joinder Agreement dated June 12, 2026 (with Innovative Fitness Canada Ltd.) and the Assignment of Debt and Security dated June 12, 2026; receiver's counsel opined the security creates a valid and enforceable security interest in the Property, subject to standard qualifications and assumptions
- cash on handnote: Receiver holding approximately $203,000 after securing $371,000 from Innovative Fitness' accounts on the Receivership Date and generating approximately $184,000 in franchise revenue. Interim R&D shows closing cash on hand of $203 (in $000s) for the period July 16 to September 15, 2026. · as at: 2026-09-15 · amount: 203000 · currency: CAD · qualifier: approximately
- disbursementsnote: Total Disbursements of $(353) (in $000s): payroll & benefits 74, contractors 90, marketing 33, subscription services 6, rent 16, professional fees 120, other 13. · since: 2026-07-16 (Receivership Date), through 2026-09-15 · amount: 353000 · currency: CAD
- operational summaryThe Receiver is overseeing the continuing operations of the franchised fitness studio business (12 employees, one corporate-owned Toronto studio) while a sale process ran; the process produced no bids, so the Lifespan stalking horse going-concern credit bid is recommended for approval within the limited liquidity runway.
- professional feesnote: Shown as a disbursement of $(120) in $000s in the Interim R&D; described as professional fees for the fees of the Receiver and its counsel. Report does not state whether tax is included. · party: the Receiver and its counsel · amount: 120000 · period: 2026-07-16 to 2026-09-15 · currency: CAD
- purchaserLifespan Holdings Inc.
- receipts cumulativenote: Total Receipts of $556 (in $000s), which includes $371 of opening cash on hand secured on the Receivership Date, $184 franchise revenue and $1 interest income. · since: 2026-07-16 (Receivership Date), through 2026-09-15 · amount: 556000 · currency: CAD
- report date18 September 2026
- report noSecond Report of the Receiver
- sale outcometext: The Receiver seeks an AVO approving the Lifespan APA (the stalking horse bid) and vesting the Assets in Lifespan; the SISP auction date was October 2, 2026. · scope: whole_business · status: pending_approval
- stalking horseLifespan Holdings Inc.