Toronto-based GrowthWorks Canadian Fund Ltd. today announced that a special committee of its board of directors has authorized phase II of the sale and investor solicitation process to be undertaken by the labour-sponsored investment fund following its filing for creditor protection.

During phase I, the fund’s financial advisor, CCC Investment Banking, solicited and received non-binding letters of intent from several interested parties to acquire or to invest in the fund.

In consultation with the fund and CCC, FTI Consulting Canada Inc., in its capacity as the court-appointed monitor of the fund in during the creditor protection proceedings, determined that multiple letters of intent were qualified for inclusion in phase II.

The fund, with the assistance of CCC, will now make additional information available to parties invited to phase II and will then seek submission of binding proposals regarding a transaction with the fund.

Phase II is expected to require a period of several weeks to complete.

“We are optimistic about phase II of the process and we will continue to work with these parties with a view to concluding a transaction for the benefit of all of the fund’s stakeholders,” said C. Ian Ross, chairman and interim CEO of the fund.