Ontario · CCAA
Pre-Filing Report of the Proposed Monitor dated June 5, 2026
Pre-filing report · 5 June 2026
What we verified from this filing4 verified
- secured creditorsnote: Sandton acquired the Syndicate's senior secured debt at a significant discount (Loan Purchase Transaction closed May 12, 2026); Sandton is now senior secured creditor; personal guarantees exist from Tarique Al-Ansari and Abdullah Saab (the Principals) as guarantors/Obligors; forbearance agreement in place (Sandton Forbearance Agreement) · page: 11 · as of: 2026-05-08 · amount: 92375000 · debtor: Paystone Inc. (borrower); guaranteed by Paystone Holdings Inc., Atom Growth Inc., Atom Growth (USA), Inc. and the Principals · creditor: Sandton Investments X (Luxembourg) S.à r.l. · currency: CAD · security: Senior Credit Facilities credit documents and related security, purchased from the Syndicate (led by National Bank of Canada as Agent) pursuant to the Loan Purchase Agreement
- secured creditorsnote: Applicant in default; BDC delivered demand letter and NOI to Enforce Security (BIA) on Feb 19, 2026; enforcement stayed by standstill notice from Agent under Priority Agreement, current standstill period expires June 20, 2026 · page: 11 · as of: date of this Report (2026-06-05) · amount: 11800000 · debtor: Paystone Inc. · creditor: BDC Capital Inc. · currency: CAD · security: Subordinated secured loan (BDC Loan), original principal $10,000,000 advanced per letter of offer dated January 29, 2024; subordinated to Senior Credit Facilities pursuant to Priority Agreement dated February 29, 2024
- financial positionnote: Liabilities exceed assets by approximately $67.3 million (deficit of $67,309 thousand); Applicants are insolvent on a balance sheet basis; figures presented in $000s in original table · page: 12 · as at: 2026-04-30 · basis: unaudited, book value · scope: Company (Paystone Holdings Inc., Paystone Inc., Atom Growth Inc., and Atom Growth (USA), Inc.) - entity/combined basis as presented in single balance sheet · currency: CAD · total assets: 50628000 · total liabilities: 117937000
- secured creditorsnote: Company has $250,000 of restricted cash pledged with BNS to secure any outstanding indebtedness owing to BNS; this figure is the cash collateral pledged, not a stated balance owing · page: 12 · debtor: Paystone Inc. · creditor: The Bank of Nova Scotia (BNS) · currency: CAD · security: Cash collateral pledged by Paystone as condition of banking services