Ontario · CCAA
Pre-Filing Report of the Proposed Monitor
Pre-filing report · 29 October 2024
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What we verified from this filing1 verified
- secured creditorsnote: Amounts per demand letters' Schedule A (as at Oct 24, 2024, stated in components, not summed): US Prime Rate Advances USD 65,834,462.12 + interest USD 411,972.46; Canadian Prime Rate Advances CAD 92,334,580.61 + interest CAD 452,948.84; Documentary Credits (LCs) CAD 6,600,000.00 and USD 4,000,000.00; LC Fee CAD 10,397.27 and USD 6,301.37; Commitment Fee USD 1,987.35 -- plus unquantified accrued interest and legal/professional fees. Multiple Events of Default declared (borrowing base breach, leverage ratio, CFADS ratio, EBIT covenant, OSC reporting default) and repayment demanded by Nov 7, 2024; Notices of Intention to Enforce Security (BIA s.244) delivered. Separate condition-precedent ceiling under proposed DIP facility: aggregate principal outstanding under Credit Agreement (post DIP advances) not to exceed USD 165,293,169.65 -- a covenant ceiling, not a balance. Demand letters sent to Borrower and multiple corporate guarantors (identical Schedule A); only Case Funding Inc. named as a guarantor recipient among excerpted pages. · page: 19 · as of: 2024-10-24 · debtor: Chesswood Group Limited (Borrower), with guarantees from Case Funding Inc. and other Chesswood Group entities under omnibus/individual security and guarantee agreements · creditor: Royal Bank of Canada, as Administrative Agent and Collateral Agent for the Lending Group · currency: USD · security: Second amended and restated Credit Agreement dated January 14, 2022 (as six times amended); Security Agreement dated December 8, 2014 (Borrower); Omnibus Guarantee (U.S.) dated December 8, 2014 and Omnibus Security Agreement (U.S.) dated December 8, 2014 with joinder agreements (Jan 8, 2019; Dec 24, 2021) for guarantors; separate guarantor security agreements dated December 21, 2021 and January 14, 2022