Buchanan To Serve as U.S. Counsel to Monitor in Chapter 15 Proceedings for North American Tea Retailer
Buchanan Ingersoll & Rooney will assist PricewaterhouseCoopers (PWC), the court- appointed Monitor and foreign representative for DAVIDsTEA in commencing chapter 15 proceedings in Delaware Bankruptcy Court in concert with insolvency proceedings commenced in Canada.
DAVIDsTEA, a leading North American tea merchant, filed insolvency proceedings in Canada to evaluate their restructuring options. The company plans to continue to operate its online business at www.davidstea.com and its wholesale distribution channel, through which it sells a selection of products in grocery stores and pharmacies across Canada.
Buchanan was retained by PwC to obtain recognition, aid and assistance from the U.S. Bankruptcy Court. Mary Caloway Jim Newell, Mark Pfeiffer and Tyler Dischinger of Buchanan’s Bankruptcy and Creditors’ Rights practice are handling the case.
PwC is tasked with monitoring the company’s business operations, assisting with cash flow projections, advising the company with respect to efficiencies and assisting with creditor negotiations. In addition, PwC must report to the court on the state of the company’s business and financial affairs. As foreign representative, PwC is responsible for obtaining recognition of the Canadian case and enforcement of the Canadian court’s orders in the U.S. to protect the company’s assets here.