WINNIPEG, Manitoba, March 17, 2023 (GLOBE NEWSWIRE) — Dynamic Technologies Group Inc. (NEX: DTG.H, OTC:ERILF) (“Dynamic”, “Company”, “we” and “our”) announces that, further to the initial order for creditor protection announced in a news release dated March 9, 2023, March 16, 2023 the Company obtained an amended and restated initial order for creditor protection (the “AR Initial Order”) from the Court of King’s Bench of Alberta (the “Court”) under the Companies’ Creditors Arrangement Act (the “CCAA”). The AR Initial Order provides for a stay until May 26, 2023 (the “Extended Stay Period”) of creditor claims and proceedings of the Company and its subsidiaries, Dynamic Attractions Ltd., Dynamic Entertainment Group Ltd., Dynamic Structures Ltd. and Dynamic Attractions Inc. (“Subsidiaries”). The AR Initial Order also approved a sales and investment solicitation process (“SISP”), which is scheduled to commence immediately.
ARIO and SISP Process
The AR Initial Order authorizes and directs FTI Consulting Canada Inc., as the court-appointed monitor (the “Monitor”) to, among other things, proceed with implementing a SISP in respect of the Company and the Subsidiaries’ business. The SISP is intended to solicit interest in, and opportunities for, a sale of, or investment in, all or part of the Company and the Subsidiaries’ assets and business operations. This may include one or more of a restructuring, recapitalization or other form of reorganization of the business and affairs of all or part of the Company, or a sale of all, substantially all, or a portion of the Company’s assets and business operations as a going concern or otherwise.
In order to participate in the SISP and obtain access to a virtual data room and other information, interested parties must comply with the terms and conditions set forth in the AR Initial Order and other related documents, which are available on the Monitor’s website at: http://cfcanada.fticonsulting.com/dynamicgroup.
Parties interested in participating in the SISP should contact Robert Kleebaum of FTI Consulting Canada Inc. at the following addresses:
1 403 454 6035
Interested parties who wish to submit a bid must deliver a non-binding letter of intent to the Monitor and the Company in accordance with the SISP by no later than 5:00 p.m. (Calgary time) on April 28, 2023 (the “Phase 1 Bid Deadline”). The Monitor and the Company will assess the letters of intent received on or before the Phase 1 Bid Deadline and may select certain bidders to proceed to the second phase of the process (“Phase 2”). The Phase 2 deadline is May 26, 2023. Any transaction that may ultimately be consummated by the Company and or its Subsidiaries will be subject to the approval of the Court in the CCAA proceedings.
At this time there is no certainty as to the outcome of the SISP. Accordingly, it is unclear whether or not there will be any value remaining for holders of Dynamic’s shares at the conclusion of the SISP.
The AR Initial Order also includes, in addition to the Extended Stay Period and approval of the SISP: (i) an increase to the administration charge (the “Administration Charge”) of up to $750,000 over the assets of the Company and its Subsidiaries for the fees of the Monitor and its legal counsel and the legal counsel to the Company and its Subsidiaries, and (ii) an increase to the interim financing charge (“Interim Lender’s Charge”) for funding during the CCAA proceedings up to the amount of $2,600,000.
MLT Aikins LLP is acting as legal counsel to the Company and its Subsidiaries in connection with the CCAA proceedings.
Transfer to NEX and Suspension of Trading
As a result of the CCAA Process, Dynamic’s listing was transferred to the NEX Board of the TSX Venture Exchange (the “TSXV”) in accordance with the TSXV’s policies and procedures effective at the opening on Wednesday, March 15, 2023. Effective at the opening Wednesday, March 15, 2023, trading in the shares of the Company was suspended as the Company has failed to maintain the services of a Transfer Agent in accordance with the TSXV’s policies and procedures.
About Dynamic Technologies Group Inc.
Dynamic is a world leader in the design engineering, production, and commissioning of iconic, media-based attractions and ride systems for the global theme park industry and popular tourist destinations. Dynamic leverages its world class, media-based attraction products and attraction development capability on a co-venture ownership basis. The Company also applies its engineering integration and problem-solving skills on special projects in diversified industries such as alternative energy and large optical telescopes and enclosures. Dynamic’s common shares are listed on the NEX Board of the TSX Venture Exchange under the symbol DTG. For more information about the Company, visit www.dynamictechgroup.com or contact:
|Guy Nelson||Allan Francis|
|Executive Chair & CEO||Vice President – Corporate Affairs and Administration|
|Phone: (416) 949-7227||Phone: (204) 589-9301|
|Email: [email protected]||Email: [email protected]|
This news release contains forward-looking statements, within the meaning of applicable securities legislation, concerning Dynamic’s business and affairs. In certain cases, forward-looking statements can be identified by the use of words such as ‘‘plans’’, ‘‘expects’’ or ‘‘does not expect’’, ‘‘budget’’, “booked”, ‘‘scheduled’’, “positions”, ‘‘estimates’’, “forecasts’’, ‘‘intends’’, ‘‘anticipates’’, “believes” or variations of such words and phrases or state that certain actions, events or results ‘‘may’’, “may be”, ‘‘could’’, “should”, ‘‘would’’, ‘‘might’’ or ‘‘will’’, ‘‘occur’’ or ‘‘be achieved’’. Such statements include statements with respect to: (i) the sale of the assets and/or business of the Company under the SISP; (ii) the form or structure of any reorganization of the Company’s business in connection with the SISP; (iii) the Company’s emergence from CCAA as a going concern. These statements involve known and unknown risks, uncertainties and other factors that may cause actual results or events to differ materially from those anticipated in such forward-looking statements. Although Dynamic believes these statements to be reasonable, no assurance can be given that these expectations will prove to be correct and such forward-looking statements included in this news release should not be unduly relied upon. Actual results could differ materially from those anticipated in these forward-looking statements as a result of prevailing economic conditions, and other factors, many of which are beyond the control of the Company. The forward-looking statements contained in this news release represent Dynamic’s expectations as of the date hereof, and are subject to change after such date. The Company disclaims any intention or obligation to update or revise any forward-looking statements whether as a result of new information, future events or otherwise, except as may be required by applicable securities regulations.
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
Resource News, Oil and Gas News, Mining News, Renewable News