February 20, 2019
After experiencing explosive growth, black-owned construction company THOR Companies is reportedly revamping its business model and trying to overcome financial challenges.THOR, a Minneapolis-based contracting and management firm, has hired Manchester Cos. as its chief reorganization officer. Manchester, also based in Minneapolis, is known for turning around and restructuring companies. Its services include providing corporate renewal, operational intervention, financial intervention and creditor relations, the firm’s website shows.
In January 2019, Sunrise Banks sued THOR and its founder and chairman Richard Copeland, pursuing restitution exceeding $3 million. The bank requested that a receiver appointed to take control of THOR, according to a lawsuit filed in Hennepin District County Court in Minnesota.
In its allegations, the St. Paul, Minnesota, bank (Sunrise) claims the borrower (THOR) “is generally not paying its debts as they become due, including payroll obligations to its employees and its debts to Lender. In the absence of an appointment of a receiver, multiple creditors of Borrower will likely attempt to engage in a “free-for-all liquidation” of the business (THOR).
Copeland responded, “THOR has never missed a payroll in 40 years to date. We have several companies rallying around this effort, however, the bank has done everything in its power to put us in receivership.”
He also issued this statement: “We are currently working with a CRO to clarify our direction moving forward,”
Simultaneously, THOR’s CEO, Ravi Norman, has departed the company. Norman told the Minnesota publication Finance & Commerce in an interview last month that he is no longer an employee at THOR. Norman worked at THOR for several years, serving in CEO and CFO roles at the business.