Plus Products Obtains Extension of Stay Period and Claims Process Order Under the Companies’ Creditors Arrangement Act (Canada)
Plus Products Inc. announced a stay extension until October 22, 2021, in its Companies' Creditors Arrangement Act proceedings. This follows the Supreme Court of British Columbia's approval to establish a claims process for creditors. The company aims to use this time to finalize a restructuring plan and facilitate claims distributions. Despite these proceedings, Plus Products remains operational and continues to receive support within its corporate group. Trading of PLUS shares is currently halted, and the company has requested delisting from the CSE.
- Stay extension granted until October 22, 2021, allows for further restructuring.
- Claims process established to manage creditor claims effectively.
- Company remains operational and continues to receive internal support.
- Trading of PLUS shares has been halted across all exchanges.
- Company has applied for delisting from the CSE.
SAN MATEO, Calif., Sept. 23, 2021 (GLOBE NEWSWIRE) -- Plus Products Inc. (CSE: PLUS) (OTCQX: PLPRF) (the “Company” or “PLUS”), a cannabis and hemp branded products company in the U.S., announces that the Supreme Court of British Columbia (the “Court”) has, among other things, extended the stay period in the Company’s Companies’ Creditors Arrangement Act (Canada) (the “CCAA”) proceeding, to October 22, 2021 (the “Stay Extension”). The Company also announces that it has obtained an order (the “Claims Process Order”) establishing a claims process (the "Claims Process") to identify and determine claims against the Company.
The Stay Extension and the Claims Process will allow the Company to develop and implement a restructuring plan in connection with the negotiation of a transaction, as well as facilitate distributions to creditors having proven claims as contemplated by such a plan.
Pursuant to the Claims Process Order, the Company will send a claims notice (the “Claims Notice”) to each known creditor of the Company, which will set out the claim such creditor has against the Company. If a creditor agrees with its claim as set out in the Claims Notice, no further action is required. Any creditor that (i) disputes the claim set forth in the Claims Notice; (ii) wishes to assert a claim against any director or officer of the Company; (iii) wishes to assert a restructuring claim; or (iv) does not receive a Claims Notice but wishes to assert a claim against the Company or any director or officer, must submit a proof of claim with the Monitor (defined below) in accordance with the terms of the Claims Process Order. A copy of the Claims Process Order, along with all schedules attached thereto, can be found at the Monitor’s website listed below.
“These are important steps in the Company’s restructuring process we initiated only nine days ago,” said PLUS CEO, Jake Heimark. “Each day we are closer to finalizing our restructuring plan which will enable us to emerge from the CCAA proceedings and carry on with growing our business and delivering the best value for our customers, debtholders and shareholders.”
As previously reported, PricewaterhouseCoopers Inc. (the “Monitor”) has been appointed to act as the Company’s monitor under the CCAA. Further information regarding the Claims Process and copies of the documents and forms employed therein are available at the Monitor’s website at https://www.pwc.com/ca/plusproducts. Further information regarding the CCAA proceedings can be obtained by reaching the Monitor via email at ca_plusproducts@pwc.com.
CCAA
The Company is not bankrupt and remains in possession and control of its business, while continuing to receive support in the form of advances from entities within its corporate group. Business operations will not be interrupted by the CCAA proceedings.
Trading in PLUS common shares and all other of the Company’s securities has been halted across all exchanges, and the Company has applied for delisting from the CSE.
About PLUS
PLUS is a cannabis and hemp food company focused on using nature to bring balance to consumers’ lives. PLUS’s mission is to make cannabis safe and approachable – that begins with high-quality products that deliver consistent consumer experiences. PLUS is headquartered in San Mateo, CA.
For further information contact:
Jake Heimark
CEO & Co-founder
ir@plusproducts.com
Investors:
Cole Stewart
Investor Relations
Cole@plusproducts.com
Tel +1 213.282.6987
Media:
Mattio Communications
Public Relations
plus@mattio.com
The CSE does not accept responsibility for the adequacy or accuracy of this release.
Forward-Looking Statements:
This press release includes statements containing certain “forward-looking information” within the meaning of applicable securities law (each, a “forward-looking statement”). Forward-looking statements are frequently characterized by words such as “plan”, “continue”, “expect”, “project”, “intend”, “believe”, “anticipate”, “estimate”, “may”, “will”, “potential”, “proposed” and other similar words, or statements that certain events or conditions “may” or “will” occur and include, but are not limited to, statements relating to: the Company’s business, the certainty of any anticipated transactions, and the future of the Company’s business.
These forward-looking statements are only predictions. Various assumptions were used in drawing the conclusions or making the projections contained in the forward-looking statements throughout this press release. Forward-looking statements are based on the opinions and estimates of management at the date the statements are made and are subject to a variety of risks and uncertainties and other factors that could cause actual events or results to differ materially from those projected in the forward-looking statements. These risks include, but are not limited to, the success of the Company’s investments, the ability to retain key personnel, the ability to continue investing in infrastructure to support growth, the ability to obtain financing on acceptable terms, the continued quality of the Company’s products, customer experience and retention, the continued development of adult-use sales channels, managements estimation of consumer demand in in jurisdictions where the Company exports, expectations of future results and expenses, the availability of additional capital to complete capital projects and facilities improvements, the ability to expand and maintain distribution capabilities, the impact of competition, the ability of the Company to implement initiatives and the possibility for changes in laws, rules, and regulations in the industry.
FAQ
What is the significance of the stay extension for PLPRF?
What actions is Plus Products Inc. taking regarding its creditors?
Why has trading in PLUS shares been halted?
What does the CCAA mean for Plus Products Inc.?
