The Ontario Superior Court of Justice gave Timminco, and its subsidiary Bécancour Silicon, an extension of the Companies’ Creditors Arrangement Act stay of proceedings. The stay proceeds will now be allowed to continue until April 30.
The extra time allotted under the CCAA proceeding will give the company time to accomplish a marketing process for the sale of the business and its assets, or for the sponsorship of a plan of arrangement, subject to court approval of such a process.
Just last week, Timminco advised that it had raised US$4.25 million to continue operating while its restructuring process goes through the Ontario courts. Timminco noted that the court heard preliminary submissions in support of the company’s request for an order approving its debtor-in-possession financing of US$4.25 million, which was provided by QSI Partners, and the super-priority ranking of the charge required by QSI Partners. The hearing for the DIP Facility will be completed at a hearing schedule for February 3.