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The shoe company still has administrative and judicial steps to undertake before it can emerge from creditor protection.

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Aldo Group announced Tuesday its North American creditors have voted in favor of its restructuring plan, almost two years after the shoe retailer placed itself in creditor protection.

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The Montreal company said the vote is a crucial step in its efforts to emerge from protection under the Companies’ Creditors Arrangement Act. Other administrative and judicial steps are still needed, including finalizing an arrangement in Switzerland, before the company can complete its restructuring.

Martin Rosenthal of EY, who was named insolvency trustee, said he was happy to have reached a “fair settlement” for creditors.

The restructuring process will allow the company to stabilize activities while it transforms to concentrate on profitable activities.

Groupe Aldo president David Bensadoun, whose father, Aldo, founded the chain in 1972, had said the COVID-19 pandemic put too much pressure on the company’s cash flow.

“Today, after a thorough restructuring process out of which we are announcing our imminent exit, we know that the Companies’ Creditors Arrangement Act was the right path to take to solidify the ALDO Group’s financial foundation and ensure the long-term sustainability of the business ,” Bensadoun said in a statement.

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