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Folded Calgary electrical company sells off assets; others worry who’s next

WATCH: Now defunct Calgary electrical company Concept Electric is holding an auction to sell off its assets. Global’s Tomasia DaSilva explains what buyers were looking for and the concern some have about what may be ahead for them – Sep 20, 2018

A Calgary electrical company was hustling and busy Sept. 20 for the first time since it closed its doors in July.

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Tradespeople poured into its office looking to cash in on deals at an auction to sell off its assets.

Concept Electric’s closure put hundreds of electricians out of work and left suppliers, contractors and others looking to get paid.

“Sad story,” Don Anderson of DSM Heating and Air Conditioning said. “There are over 500 unemployed electricians out on the streets right now, which I don’t like to see as a contractor.”

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Concept had operations in Alberta and Saskatchewan. It was the company behind several large projects.

At the time it folded, it had 11 active contracts with the City of Calgary. In July, city officials told Global News they were seeking legal action but couldn’t say how much money the situation would end up costing Calgary.

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Neither Concept nor its receiver have commented as to why the electrical contractor went out of business.

But court documents show the company owed millions of dollars to various companies and financial institutions, including almost $14 million to Canadian bank HSBC.

Many at the auction were saddened the company folded but not necessarily surprised, given Calgary’s economic reality.

“Things don’t seem to be picking up, definitely don’t seem to be picking up,” Grant Rechel of Climatrol Comfort Solutions said.

“And when big companies like this go under that are doing jobs that are in the millions and millions of dollars, it kind of makes you wonder.”

Court documents also show Concept Electric’s book value was around $28 million at the time of receivership.

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