A Quebec court decision last week has allowed BioAmber to stave off bankruptcy and continue operating its Sarnia manufacturing facility while it restructures.
The decision provides the company with $3 million of “debtor-in-possession” financing from Maynbridge Capital.
The Sarnia facility turns plant wastes into succinic acid, a building block used in everything from plastics to paint and food.
Despite having worldwide markets for its product, BioAmber reported a net loss of $102.2 million in 2017 and saw its stock value plunge to almost nothing.
“We are pleased to continue operations in Sarnia to meet the growing demand we’re seeing from the market,” CEO Rick Eno said in a release.
The company was delisted from the Toronto Stock Exchange earlier this year despite posting record revenues in the final quarter of 2017.