An Ontario-based oilseed processor has jumped one more hurdle toward being the new owner of the canola crushing plant in Sexsmith, Alta.
Both the Alberta and Ontario courts have approved the sale of Northern Lite Canola to Helin Industries Inc., said Brahm Rosen, the court-appointed receiver of the facility.
“People had the opportunity to oppose the sale (in court). That
didn’t happen,” said Rosen, of Toronto.
In September, Helin offered to buy the northern Alberta canola plant for $4.7 million. The offer was subject to several conditions, including obtaining court approval, which was obtained last week. Helin must also raise the money to buy the plant and $11 million worth of improvements.
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In an earlier news release, Jim Papadopoulos, president and chief executive officer of Helin Industries, said once the plant is upgraded, and assuming canola prices remain the same, “Helin’s revenue’s could increase significantly.”
At the same time, Helin announced it had an agreement with one of Canada’s largest grain sources to supply the Sexsmith plant with canola seed and to re-sell, on a daily basis, the canola meal generated from the Sexsmith plant.
Helin Industries, through its subsidiaries, Empire Foods Ltd., Helin Oil Packers Ltd., and Eli-Can International Trading Company Ltd., is a distributor of dry and frozen foods, edible oils, paper products and a producer of soybean protein and vegetable oil and shortening.
Agra Food Inc., of Kincardine, Ont., bought the Sexsmith plant in 1997. In October 1998 it received creditor protection and went into receivership this spring. The canola crushing plant has been in receivership several times since it was built more than 20 years ago.
Carolyn Gaunt, chief administrative officer with the Town of Sexsmith, said the town hopes the latest sale goes through.
“It’s very important to the town and the farmers,” she said.
