With an approved extension on its stay of proceedings from the Supreme Court of B.C., the Donnelly Group of companies including its hospitality businesses under Freehouse Collective, announced Thursday its aim now is completing its financial restructuring in order to exit CCAA.
“It’s been a long and intense process,” said CEO Jeff Donnelly in a news release, “which is now due to end happily thanks to our determination and the remarkable patience of our principal creditor BMO.”
The company said the stay of proceedings extension was registered on September 25 leaving room until November 1 to finalize restructuring terms.
“Our opportunity, with BMO’s support, is to keep this company together and continue to employ our staff, serve our communities, and ensure that great hospitality remains integral to our collective culture,” added Donnelly.
Over the past year the group was forced to sell or release several historic Vancouver businesses such as Cinema as well as The Railway and Bimini’s which have since been sold again before closing, all indelible marks of the real challenges continuing to face the hospitality industry and a loss of two deeply storied venues, it said.
“It’s a tough time for this industry which is news to no one,” explained Donnelly. “Without business experience, access to capital, and a great product suited to your market, the revenues and margins are no longer there. I applaud operators who have survived, thrived even. We’re excited to again be joining those ranks.”
Freehouse Collective has recently opened Sing Sing Beer Bars in Vancouver’s Commercial Drive and on Adelaide St in Toronto’s financial district. It will also open Sing Sing Riverdale in Toronto’s Danforth neighbourhood this Fall, and next Spring, Sing Sing Willowbrook in Langley’s newly constructed Courtyard at Willowbrook Shopping Centre.
