While the Quebec government is just beginning to open up to the potential of solar energy, Stace, a major solar panel manufacturer in the Quebec region that also has a presence in Gaspésie and Centre-du-Québec, is in significant financial trouble, it has been learned The newspaper.
At the request of the Business Development Bank of Canada (BDC), the Supreme Court has just appointed a receiver to take control of its Matane assets and begin a process to sell the facility (formerly owned by Enercon) with all the equipment there.
The former German Enercon factory in Matane was purchased by Stace in autumn 2021. Wec Tours (Enercon)
Reached by phone Friday, the company's president and chief executive officer, Normand Lord, declined to comment on the situation. He insisted on the “confidential” nature of his company's finances, a private company confirmed to the Quebec Business Register.
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Solar farm in danger
Saint-Augustin Canada Électrique, better known by the acronym STACE, was created from the acquisition of GE Canada's former operations in 2015 near Quebec. The company, which has 250 employees, specializes in the development and manufacture of electrical devices intended, among other things, for wind and solar energy operators.
After Hydro-Québec purchased some of its modules for its solar farm in La Prairie in Montérégie, Stace was awarded the contract 18 months ago to build a new solar farm with a capacity of 32 MW on a former landfill in Gaspésie.
Normand Lord, President and CEO of STACE Photo Stevens LeBlanc
Unfortunately, given the latest information available, it may take some time for this project to come to fruition. According to court documents, Stace must first sort out her financial problems.
Exercise Notes
Stace Immo, a real estate subsidiary of Stace Holding, reportedly informed the BDC before Christmas of its intention to sell its Matane factory. To buy it, Stace took out a $7.65 million mortgage from the BDC. As of Jan. 19, his remaining balance was $5.3 million, excluding ongoing fees, penalties and interest.
To make matters worse, the Bank of Montreal (BMO) also registered a notice of exercise of a mortgage right against it in the Register of Personal and Movable Real Estate Rights at the beginning of January.
Photo from Stace's Facebook page
Because Stace is “insolvent”, the BDC considers that it is no longer able to meet its obligations to him and is also unable to maintain the former German Enercon plant. In addition, the costs required for the maintenance of this building for the first six months of 2024 are estimated at no less than $400,000.
redundancies
In an interview, bankruptcy administrator Pierre Marchand of MNP Ltée confirmed the order given to him by the court to take possession of the Matane power plant, ensure its proper maintenance and attract groups interested in its resumption.
However, the latter was unable to inform us about the health status of the holding company, nor about the possibility that the company could benefit from the protection of the Bankruptcy and Insolvency Code, the timing of presenting a proposal to creditors. accompanied by a restructuring plan for the company.
According to our information, the management of the company with around 250 employees made numerous layoffs a few days before Christmas. How much? It was impossible for us to know. Our messages left with the company on Friday went unanswered.
“I find this all very sad,” one of the company’s creditors told us. Personally, I don't think I will ever see the color of my money. But I still hope they can do it.”
-In collaboration with Dominique Lelièvre and Philippe Langlois, Investigation Bureau
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