TORONTO, Jan. 12,
2023 /CNW/ - Inscape Corporation ("Inscape" or the
"Company") (TSX: INQ) announces today that the Company and its
subsidiaries, Inscape Inc. ("INI") and Inscape (New York) Inc. ("Inscape NY" and
together with Inscape and INI, "Inscape Group") have
initiated proceedings (the "CCAA Proceedings") in the
Ontario Superior Court of Justice (Commercial List) (the
"Court") under the Companies' Creditors Arrangement
Act (the "CCAA").
The Inscape Group's application under the CCAA was heard this
morning. Following the hearing, the Court granted an order (the
"Initial Order"), which, among various other relief: (i)
grants a stay of proceedings in favour of Inscape Group up to and
including January 20, 2023
("Initial Stay Period"); and (ii) appoints Alvarez and
Marsal Canada Inc. ("A&M") as court-appointed
monitor of Inscape Group (in such capacity, the
"Monitor").
After careful consideration of all available alternatives
following thorough consultation with legal and financial advisors,
the board of Inscape Group determined that it is in the best
interests of Inscape Group and all of its stakeholders to seek
creditor protection under the CCAA.
Inscape Group initiated the CCAA Proceedings in order to, among
other things, obtain a stay of proceedings that will allow Inscape
Group to determine the best path forward to effect an orderly and
efficient process for the liquidation of the Company's assets.
Inscape Group is scheduled to return to the Court for a hearing
(the "Comeback Hearing") on January
20, 2023.
During the Initial Stay Period, the Company intends to begin
working closely with the Monitor to facilitate the development of
an orderly process designed to maximize the value of its assets,
for the benefit of its creditors and other stakeholders.
About Inscape
Since 1888, Inscape has been designing products and services
that are focused on the future, so businesses can adapt and evolve
without investing in their workspaces all over again. Our versatile
portfolio includes systems furniture, storage, and walls – all of
which are adaptable and built to last. Inscape's wide dealer
network, showrooms in the United
States and Canada, along
with full service and support for all our clients, enable us to
stand out from the crowd. We make it simple. We make it smart. We
make our clients wonder why they didn't choose us sooner.
Cautionary Statements Respecting
Forward Looking Statements and the Offer
This new release contains "forward-looking statements" within
the meaning of such statements under the applicable securities law.
Forward-looking statements are frequently characterized by words
such as "plan", "continue", "except", "project", "intend",
"believe", "anticipate", "estimate", "may", "will", "potential",
"proposed" and other similar words, or statements that certain
events or conditions "may" or "will" occur. These statements are
only predictions. Forward-looking statements in this release
include statements regarding Inscape Group's intention to complete
proceedings under the CCAA, the Company's intention to effect a
liquidation of the Company's assets; the Company's attention to
return to the Court for a hearing on January
20, 2023; and the Company's intention to work closely with
the proposed Monitor to develop and implement a process to maximize
the value of its assets. Various assumptions were used in drawing
the conclusions or making the projections contained in the
forward-looking statements throughout this news release, including
assumptions based on the Company's publicly disclosed information,
and the Company's current financial condition. 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. The Company is under no
obligation, and expressly 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
expressly required by applicable law.
For more information, visit myinscape.com.
SOURCE INSCAPE Corporation
