Pride Group - TPine

[MLCAR]

Read the 12th monitors report

THE TLDR:

Some one or ones from the "Johal family" has the successful bid to buy PGL for $56 mil (the breakdown is pretty comical pg. 10 on the report). This will still have to be approved by the court (which chances are it will, since there were only 3 bids in total from 71 parties solicited) the equipment financiers also have to approve the sale. Their Cornwall yard is being bought for 7.5 mill by Globocam and will be leased back to PGL till sept. 30th to store trucks and trailers. The Abbotsford yard is being bought by Fort Gary for 15 mill.

as far as TPINE goes Mitsubishi HC opposed and have now agreed to still let them operate, and their proceeds to be held in a trust by the monitor till the sale of PGL goes through. The banks who lent on trucks are in limbo, since a significant number of trucks and equipment have been identified as multiple collateral vehicles "MCV's" and its going to take a lot of time to go through each one of the claims to see who has the right to collect.

Pretty much if this sale goes through PGL will have some breathing room to continue to operate and the icing on the cake the company stay's with the family.

 

[MARTYI]

THE TLDR:

Some one or ones from the "Johal family" has the successful bid to buy PGL for $56 mil (the breakdown is pretty comical pg. 10 on the report). This will still have to be approved by the court (which chances are it will, since there were only 3 bids in total from 71 parties solicited) the equipment financiers also have to approve the sale. Their Cornwall yard is being bought for 7.5 mill by Globocam and will be leased back to PGL till sept. 30th to store trucks and trailers. The Abbotsford yard is being bought by Fort Gary for 15 mill.

as far as TPINE goes Mitsubishi HC opposed and have now agreed to still let them operate, and their proceeds to be held in a trust by the monitor till the sale of PGL goes through. The banks who lent on trucks are in limbo, since a significant number of trucks and equipment have been identified as multiple collateral vehicles "MCV's" and its going to take a lot of time to go through each one of the claims to see who has the right to collect.

Pretty much if this sale goes through PGL will have some breathing room to continue to operate and the icing on the cake the company stay's with the family.

Wow

 

[artmax]

Pretty much if this sale goes through PGL will have some breathing room to continue to operate and the icing on the cake the company stay's with the family.

They would've stolen thousands of pieces of assets all paid for by other people's earned money.

 

[trucker199]

I was hearing that everything was to go back to court today to finalize the sale.. at least that is what I believed was going to happen. Has anyone heard of anything yet? Looks like there is now a new motion out to return August 9th.

 

[Shakey]

As The Pride Turns, who has the movie rights?

 

[tasuinam]

As The Pride Turns, who has the movie rights?

I can't get a laughing emoji - so have to type it out HA HA HA

 

[sran39]

Still if court disapprove they have to close operations,there is no way around i guess.

 

[AgentSmith]

As The Pride Turns, who has the movie rights?

And the sequel

Pride and Without Prejudice

 

[flatbeders]

So what I got from the article versus the actual document is they are winding down all of Pride but the sale of PGL is still on table. Can anyone clarify?

Pride sale to founders rejected, company to wind down operations - Truck News

A recommendation by bankruptcy Monitor Ernst & Young to sell Pride Group back to its founders for $56 million and maintain the company as a going

www.trucknews.com

Court Document:

https://documentcentre.ey.com/api/Document/download?docId=39875&language=EN

 

[Jim L]

So what I got from the article versus the actual document is they are winding down all of Pride but the sale of PGL is still on table. Can anyone clarify?

Pride sale to founders rejected, company to wind down operations - Truck News

A recommendation by bankruptcy Monitor Ernst & Young to sell Pride Group back to its founders for $56 million and maintain the company as a going

www.trucknews.com

Court Document:

https://documentcentre.ey.com/api/Document/download?docId=39875&language=EN

Looks accurate - the sale to the founders was rejected.

Pride sale to founders rejected, company to wind down operations

A recommendation by bankruptcy Monitor Ernst & Young to sell Pride Group back to its founders for $56 million and maintain the company as a going concern was not met […] Continue reading...

insidetransport.com

 

[MARTYI]

There is going to be some huge ripples in the industry from this

 

[loaders]

I hate to say it, but the blame for this bloodbath should be spread equally amongst the owners and the greedy lenders. Had any of the banks or finance companies looked a little deeper, as they would for small potato operators like you and me, they would have discovered the financial shenanigans this bunch were up to. But no, there was money to be made by pumping up the Pride Empire so why look any closer. Daimler and Volvo saw an opportunity to drive up their market share and fill the order books for new trucks. The banks and others thought that this gravy train would run forever with no risk to their stake. Well, the chickens have come home to roost and what a stinky mess they are making. Shame on all of them for this fiasco.

 

[RAPTORS1]

So if Pride Group is going to Wind up, do you think the court will approve giving them sometime to bring the equipment back and give carriers factoring with them some time to move? Or is it going be like the plug is pulled and game over? With the whole truck/trailers going back now, used market is going to get even more flooded and price are going to drop again.

 

[JM2355]

I hate to say it, but the blame for this bloodbath should be spread equally amongst the owners and the greedy lenders. Had any of the banks or finance companies looked a little deeper, as they would for small potato operators like you and me, they would have discovered the financial shenanigans this bunch were up to. But no, there was money to be made by pumping up the Pride Empire so why look any closer. Daimler and Volvo saw an opportunity to drive up their market share and fill the order books for new trucks. The banks and others thought that this gravy train would run forever with no risk to their stake. Well, the chickens have come home to roost and what a stinky mess they are making. Shame on all of them for this fiasco.

Agree / there was sure more to it than what we see...Drivers whose credit profile most leasing companies (even likes of mitsubishi) themselves wont even look at ...got Quarter million used truck financed easily from TPINE (With same lender's money). Pride at one time even was advertising no credit checks

 

[Jim L]

So if Pride Group is going to Wind up, do you think the court will approve giving them sometime to bring the equipment back and give carriers factoring with them some time to move? Or is it going be like the plug is pulled and game over? With the whole truck/trailers going back now, used market is going to get even more flooded and price are going to drop again.

There will be a date where all the equipment will have to be returned to a centralized location for processing. It will be a week or two so everyone in a Pride truck will have to look very fast for other options.
The OEMs will probably sit on the equipment for a while knowing what will happen to the market.

 

[MLCAR]

There is going to be some huge ripples in the industry from this

WELL THE AUCTIONS ARE ABOUT TO BE LIT UP. Get those cheque books ready!

 

[MLCAR]

There will be a date where all the equipment will have to be returned to a centralized location for processing. It will be a week or two so everyone in a Pride truck will have to look very fast for other options.
The OEMs will probably sit on the equipment for a while knowing what will happen to the market.

not to mention, many of the trucks have multiple claims on them since they were borrowed against. Its safe to say this isn't going to be a few weeks for the turn-around. I'd expect to see equipment to start trickling down to the auctions around late September early October. The OEMs may not want to hold onto much of these trucks since their new ones aren't doing to well sales wise. I see them either trying to shift most of them at wholesale or liquidate.

 

[Rob]

WELL THE AUCTIONS ARE ABOUT TO BE LIT UP. Get those cheque books ready!

Personal freinds with 3 different auction house owners and they are all just swamped now with folks selling off stuff. That covid cash payback is coming in the form of if you have a few bucks you can fill up the toy box pretty cheap. Prices at sales are way down and this is not going to help anyone trying to sell off older / not needed equipment. She is going to be a bumpy ride hold on to your hats boys and girls it is about to get wild and not in a good way. Just wait until they finally admit we are in recession if you think purse strings are tight now.

 

[Jane D]

Just in, in everyone's inboxes moments ago LOL


Dear valued Partner Carriers



We recognize over the past 24 hours there have been multiple media reports about the Pride Group restructuring. This is an ongoing and normal process in a CCAA proceeding. It is also a very public process at certain times and it is common for media reporting to miss characterize certain key facts or report them out of context. We want to ensure you have the accurate facts so please reach out to your key point of contact should you have any questions.



Please see an accurate update below as to where Pride Group and Pride Group Logistics currently stands in the restructuring process.



The Pride Group Applicants have determined that a restructuring of the entire Pride Group as one transaction is no longer feasible and have advised the Court of its intention to sell certain assets or businesses as the only viable way forward.



Further, the Pride Group Applicants continue to pursue going concern transactions such as the sale of TPine Factoring, and Pride Group Logistics (PGL) business units, in order to preserve the business relationships, the employee and contractor relationships, and to continue to serve our important and valuable customer relationships. The TPine Factoring transaction has been approved by the Court which preserves the value of the business and its customer relationships. The same efforts are being made to support the PGL transaction as a going concern and this proposal continues to be negotiated with the various stakeholders with the intention of seeking Court Approval. It is a natural part of the Court Process to openly discuss alternatives to any transaction and we realize some of these discussions can cause anxiety amongst our key partners. It is important to note that NO DECISION has been made at this time and the matter is still in front of the Court for determination at a future date.



Thank you for your continued support!

 

[MLCAR]

Just wait until they finally admit we are in recession if you think purse strings are tight now.

yep, they just reported 2800 jobs lost in Canada for the month of June but ump rate is still at 6.6%....the math aint mathing lol. Funny enough I was over at Bryans last week, the amount of 2022 and up trailers they have up for sale is eye opening.