Skeena Sawmills and affiliates face bankruptcy with debts over $143 million

By Viktor Elias
The Northern View
September 13, 2023
Category: Business & Politics
Region: Canada, Canada West

A numbered company is petitioning the B.C. Supreme Court to force Skeena Sawmills and its affiliated entities into bankruptcy… seeking to appoint a receiver and manager of all properties associated with Skeena Sawmills, Skeena Bioenergy and ROC Holdings to sell them. The numbered company — registered by Xiao Peng Cui and Shenwei Wu who own the other three companies — is the major creditor. Due to increasing concerns over debt load, the lender made formal demands for payments to the companies on Jan. 26, 2023. Subsequent negotiations culminated in further loans and advances and a payment plan. Despite the agreement, financial challenges persisted. As of Sept. 8, the combined debt and advances reached approximately $143 million. Both Skeena Sawmills and Skeena Bioenergy are now shut down. Several other entities have also pursued legal avenues in the form of contractor liens, to secure their interests against the companies… and the Crown has registered stumpage charges.

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