The Manitoba Court of Queen's Bench has extended the period of creditor protection for Puratone Corporation.
The large Niverville-based pig producer first entered 30 days of court protection on September 12th.
"The stay of proceedings has been extended until November 2nd," explains the court-appointed monitor, Brent Warga of Deloitte.
Puratone owes $86 million to three secured creditors: Farm Credit Canada, Bank of Montreal and Manitoba Agricultural Services Corporation. There are hundreds of other creditors, most of whom are southern Manitoba producers or businesses.
Warga says there has been interest in purchasing the company.
According to the monitor's first report, two parties submitted offers of interest in acquiring "all or substantially all" of Puratone's assets before a deadline on September 27th, but both offers were rejected. Those two parties, along with a third that also expressed interest, were given until October 15th to re-submit their offers, with the aim of concluding a purchase agreement on or before October 22nd.
So far, no claims procedure has been approved by the Court, so creditors are not required to file a proof of claim. When an arrangement is approved, cred itors will be asked to submit their proofs of claim against Puratone...
Source: Argentine Beef Packers S.A.
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