09 Mar, 2018, 10:53 ET
TORONTO, March 9, 2018 /CNW/ - Gemma Communications LP, Gemma GP Corp. and Akron Insurance Limited (collectively, the "Gemma Businesses"), filed assignments today under the Bankruptcy and Insolvency Act (the "Act") to allow for an orderly, court supervised wind-up of the Gemma Businesses. As a result of these assignments, PricewaterhouseCoopers Inc., Licensed Insolvency Trustee ("LIT"), has been appointed as the bankruptcy trustee ("Trustee") for these businesses.
The Gemma Businesses are wholly-owned subsidiaries of Dealnet Capital Corp. ("Dealnet Capital"). Dealnet Capital's other business activities are not affected by these assignments. Specifically, Dealnet Capital's consumer finance business operating as EcoHome Financial, and its engagement business operating as OC Communications Group and Impact Mobile are conducting business as usual.
As a result of filing under the Act, effective immediately, the Gemma Businesses operating in Ontario and Quebec have ceased to provide services to their customers and all of their employees have been terminated. Employees of the Gemma Businesses will receive salary and accrued vacation pay up to and including today's date. The assets of the Gemma Businesses are now under the administration of the Trustee.
Since Dealnet Capital acquired the Gemma Businesses in September 2015, the Gemma Businesses have incurred on-going, significant operating losses.
Creditors of any of the Gemma Businesses should contact PricewaterhouseCoopers as the Trustee to file claims with respect to the bankrupt estates. Information on the bankrupt estates can be found at the Trustee's website: www.pwc.com/ca/gemma.
SOURCE Gemma Communications LP
For further information: PricewaterhouseCoopers Inc., LIT, 416-687-8305, www.pwc.com/ca/gemma
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