The Securities Commission has granted Dynamic Technologies Group Inc. (the Filer) an order to cease being a reporting issuer. The Filer, an Alberta corporation, is a reporting issuer in British Columbia, Alberta, and Ontario but does not have a head office. It initiated creditor protection proceedings under the Companies’ Creditor Arrangement Act (Canada) and underwent a sales and investment solicitation process.
The Filer failed to file its annual financial statements and other continuous disclosure documents, resulting in cease trade orders in Alberta and Ontario. However, the Filer completed a court-approved transaction that involved the cancellation of existing shares, issuance of a new share to a subsidiary of Promising Expert Limited, and other reorganization activities.
The Filer’s securities are owned by fewer than 15 securityholders in each jurisdiction in Canada and fewer than 51 worldwide, with no trading on any marketplace. Although the Filer could not use the simplified procedure due to its default in securities legislation, it has been granted relief from its reporting obligations following the anticipated full revocation of the cease trade orders.
The decision is based on the Securities Act, R.S.O. 1990, c. S.5, as amended, specifically section 1(10)(a)(ii), and the relevant securities legislation of Alberta and Ontario. The Alberta Securities Commission is the principal regulator for this application, and the order reflects the decisions of both Alberta and Ontario securities regulatory authorities.