Raymor Industries Inc. (TSX VENTURE:RAR), a leading developer and producer of single-walled carbon nanotubes, nanomaterials and advanced materials, announces it has received from its principal financial institution a Notice to Enforce a Security under the article 244(1) of the Bankruptcy and Insolvency Act. Meanwhile, a second Notice to Enforce a Security was received by SE Techno Plus Inc., a subsidiary of Raymor Aerospace, from its financial institution requesting the full repayment of its obligation.
The Company is taking the notifications seriously and is presently discussing with both financial institutions in order to resolve the situation. Since the third quarter 2008, the corporation was going through difficult times and was attempting to refinance its operations via different sources of financing. Having failed to comply with payment obligations under both lending agreements, the Company and SE Techno Plus inc. were considered being in default.
The Company is presently reviewing all options to resolve the current situation including financing opportunities with two lenders and the sale of a division. In order to facilitate its financial restructuring, the Company is contemplating various alternatives including the use of legal recourse to seek protection against creditors.