Dynamic Technologies Group Inc. (TSXV: DTG, OTC: ERILF) announced it obtained an initial order for creditor protection from the Court of King’s Bench of Alberta on March 9, 2023, under the Companies’ Creditors Arrangement Act (CCAA). The order provided a 10-day stay of creditor claims for Dynamic and its subsidiaries, Dynamic Attractions Ltd., Dynamic Entertainment Group Ltd., Dynamic Structures Ltd., and Dynamic Attractions Inc.

The Court appointed FTI Consulting Canada Inc. as the monitor, with an administration charge of up to $100,000 and an interim financing charge of $250,000. The directors’ charge was also set at $250,000. The Monitor established a website for updates on the restructuring process.

Following consultation with legal and financial advisors, the Board determined CCAA protection was in the best interest of the Company. This decision was influenced by Dynamic's cash position, forecasted revenue, deferred revenue, contingent liabilities, and non-payment defaults under its secured credit facility with Promising Expert Limited and subordinated secured loan with Export Development Canada.

A comeback hearing was scheduled for March 16, 2023, to seek approval for a sale and investment solicitation process, increase the administration and interim lender’s charges, and extend the stay of proceedings by 30-60 days. Promising Expert Limited would provide up to CAD $2.6 million in debtor-in-possession financing.

MLT Aikins LLP acted as legal counsel for Dynamic in the CCAA proceedings. Dynamic’s listing was transferred to the NEX Board of the TSX Venture Exchange, and trading of its securities was expected to be suspended.