Barber Continues Efforts to Buy Back Company
January 27, 2011
John Barber's quest to regain control of the assets of the company bearing his name will continue in a Canadian court Monday, in a duel with creditors representatives that continues.
The 127-old company was placed into receivership on November 15 and Grant Thorton Limited LLC was named court appointed receiver and asset manager.
According to court documents, Barber and his wife and business partner Susan were successful in purchasing the assets of Barber Retail for $335,000 in December and were hoping to make a purchase of all the assets of Barber Glass Industries as well. Court documents show the Barbers have made four such offers over the course of the past few weeks.
All such offers have been rejected by Grant Thorton. The receiver said the Barbers' offers were unacceptable because they came without a cash deposit and were conditional on adequate financing. A Canadian court will decide Monday whether or not to allow Thorton sell off the company's assets piecemeal. Thorton has said that its received multiple offers to purchase certain equipment from other companies but no offers for the whole business, with the exception of of the Barbers'.
"It's not over until the court date," Barber is quoted as saying in a local newspaper, the Guelph Mercury. "It still has to be court approved. That's kind of where we are right now."
Court documents also reveal an interesting tug-of-war occurring over a Lisec waterjet system and related components at Barber's Collingwood facility. The equipment was originally purchased by a related company called Barber Suffolk with Lisec America having a purchase money security interest in it. Lisec is contending a transfer of ownership of the equipment from Barber Suffolk to Barber Glass is invalid and should not be included in any sale of assets.
Grant Thorton has agreed not to sell the Lisec machinery without
consent from Lisec America or an order by the Court, pending a
determination of the application.