The members of MEC failed to convince the BC Superior Court to give them time to submit a purchase offer. Instead, the court approved the sale of the cooperative to the American fund Kingswood Capital.
Posted Oct 2, 2020 at 2:24 PM
“We believe there are basic legal principles that this statement ignored. The rights of members of the cooperative and those of credit unions are at stake. The cooperative sector is investigating legal options, & # 39; & # 39 ;, the Save MEC movement said immediately after the judge's ruling Friday morning (Vancouver time). .
Since Monday, the group of members, opposed to the sale of the retailer to the US fund Kingswood and consequently its privatization, has been arguing in court in hopes of getting time to make an offer. bring purchase. The group claimed to have raised "more than $ 100 million" from the cooperative sector and from social impact investors.
Kingswood donated $ 150 million to acquire almost all of the assets of outdoor retailer MEC.
According to Sauvons MEC, "governments across Canada must change laws to prevent this from happening again."
The movement also warns that "five million people will keep an eye on MEC and Kingswood" so that obligations to employees are met. In particular, the US fund promised to keep 17 stores out of 22 and 75% of the employees.
In less than 3 weeks, the petition to stop sales launched by Sauvon's MEC has collected nearly 150,000 signatures. In addition, 14,000 MEC members signed the petition demanding a special meeting.
With 5.8 million members, MEC is the largest business cooperative in the country. On September 7, the cooperative had 1,500 employees, including “1,100 active”. In Quebec there were 155 (of which 94 active) in service.