ConCreate USL, a construction contractor based north of Toronto in Bolton, is in receivership. As of Tuesday, ConCreate USL was working on the $48-million Strandhert-Armstrong bridge in Ottawa, which crosses the Rideau River. With 400 employees, it operates sites in Truro, Nova Scotia, Crossfield, Alberta and Sarsfield, Ontario.
ConCreate USL, a construction contractor based north of Toronto in Bolton, is in receivership, according to documents filed in a Toronto court.
As of Tuesday, ConCreate USL was working on the $48-million Strandherd-Armstrong bridge in Ottawa, which crosses the Rideau River, but the City of Ottawa issued a press release stating the general contractor on that project is in receivership. The city did not name the contractor.
However, a March 16 order from Mr. Justice Colin Campbell of the Ontario Superior Court of Justice Commercial List appointed audit firm Grant Thornton LP as interim receiver of ConCreate USL and other construction firms under the Bankruptcy and Insolvency Act.
The application for receivership was filed by the Bank of Nova Scotia.
"It is important to note that work on the bridge is estimated to be about 60 per cent complete and the City holds a Performance Bond of $23,024,904 which should ensure the completion of the project," the City of Ottawa stated in the release. "The City will work with the Courts and Receiver to ensure the protection of the interests of the residents of Ottawa."
Founded in 1971 as Underground Services Ltd. in Moncton, New Brunswick, ConCreate USL started as a tunneling contractor. According to its website, it now employs 400.
In January 2007, The USL Group of Companies amalgamated under the ConCreate USL Ltd. name. It head office is now in Bolton and it operates sites in Truro, Nova Scotia, Crossfield, Alberta and Sarsfield, Ontario.
The court ordered Grant Thornton as the receiver of Triwest Construction (GP) Inc., Triwest Construction Limited Partnership, ConCreate USL (GP) Inc., ConCreate USL LLP and Steel Design and Fabrications (SDF) Ltd. In its application, the Bank of Nova Scotia claimed it is a secured creditor of Triwest, under an agreement dated February 1, 2011, and that Triwest has been and continues to be in default "of a variety of obligations." Bank of Nova Scotia claimed that as of March 15, the outstanding indebtedness was $34,597,257.20.
According to the Concreate USL website, private equity firm TriWest Capital Partners became Concreate USL's financial and operating partner in January, 2011.
DCN DIGITAL MEDIA
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