Grew Manufacturing, Rockford, ON, has entered receivership. BDO Canada in Owen Sound, ON, was appointed in May to place the company in receivership.
The status of the business initially became uncertain after a shooting took place at the Grew Boats Manufacturing plant on February 21.
“We’re making application to the court to propose a method of sale,” says Bill Courage of BDO Canada. “Once we have the court’s approval and receive input from stakeholders then we’ll be able to start the process, which takes several weeks. I would think we’re likely looking at the end of June before we have a sale posted or calls for offers in the market.”
Courage says the company is currently liable for an amount in excess of $3 million.
“We anticipate all assets, land, buildings, equipment, inventory, designs, molds, intellectual property and operating names will be available to sell,” says Courage.
Courage says the Grew’s 20-plus remaining employees are protected by the Wage Earner Protection Program for a certain amount of wages, owed vacation and termination pay leading up to the six month period prior to receivership. “The company closed fundamentally on February 21 when David Cameron passed away. So we’ve gone back through the records of the company and are working with Human Resources Canada to get the process in place to get these people their money.”
“There are a number of people who put deposits on boats who aren’t going to get boats and their money wasn’t put aside in trust so they won’t get their deposits back either, which is an unfortunate situation,” adds Courage. “These people are creditors at this point.”