On January 7, 2025, Comark Holdings Inc., along with its subsidiaries Bootlegger Clothing Inc., cleo fashions Inc., and Ricki’s Fashions Inc. (collectively, the “Comark Group”), obtained protection under the CCAA due to ongoing financial challenges. The fashion retailer, which previously sought CCAA protection in June 2020, has faced sustained pressures from the COVID-19 pandemic, a 2021 cyber incident, and supply chain disruptions, leading to insolvency with $60 million in liabilities, including $44 million owed to vendors and $5 million to landlords. CIBC, the senior secured creditor, has demanded repayment of its $32 million loan. The CCAA proceedings aim to wind down cleo and Ricki’s, downsize Bootlegger, and run a sale and investment solicitation process (SISP) for the remaining business and assets.

Alvarez & Marsal was appointed as monitor. Osler is acting for the Comark Group, Goodmans represents the monitor, and Blakes advises CIBC.