Structurlam Files for Bankruptcy; Plans to Sell Assets in BC and Arkansas to Mercer International
Structurlam Mass Timber Corporation announced Monday (4-24-23) that it has entered into a stalking horse asset purchase agreement (the “APA”) with Mercer International to sell substantially all of its assets in British Columbia and Arkansas for $60 million (USD).
In conjunction with the APA, Structurlam has voluntarily filed a petition for relief under Chapter 11 of the US code. Recognition of the Chapter 11 filing will be sought in the Supreme Court of British Columbia shortly thereafter.
The APA is subject to higher and better offers as part of a court monitored auction process. In addition, Structurlam has secured a $7.5 million (CAD) debtor-in-possession facility for the Bank of Montreal to fund its operations throughout the court process.
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