Sonar purchases Toronto’s ICE, operations resume

Toronto’s ICE Integrated Creative Experiences Inc. has emerged from creditor protection under the new ownership of the Sonar Group. The live event planning and multimedia company had sought protection last October 30 while searching for new investment (CNM, Nov. 2/01). It was purchased on undisclosed terms by the Sonar Group with the equity participation of new CEO Terry Maguire and moved to Sonar’s Niagara Street headquarters. Under the restructuring, the firm now employs 25 full-time staff and retains 25 as freelancers, many of whom were previously employees. ICE, known for its work on groundbreaking Internet advertising campaigns including one for BMW, continues to seek new clients while working for existing ones. Though staff levels are down significantly from the 90 full-time personnel under the old ownership, Maguire tells Canadian NEW MEDIA that the company has all the necessary resources to fulfill its current obligations while expanding the business. "The model that got ICE into such trouble was having so much fixed overhead," he says. "When Sept. 11 hit – I know it’s a popular excuse for a lot of companies – but in the case of ICE it literally wiped out the live event business for months to come. So the model we have going forward is we picked a core. We have essentially handpicked the top 25 people within the company and then, on top of that, we have a huge network of freelancers… This helps you keep costs in line and helps drive the pricing down a little bit. "So we have been able to discount some of our larger clients because they’re not paying for the massive overhead that they were in the past. They like that. That way we’re able to put the expertise on the project for as long as it’s needed but we’re not paying for those resources for the rest of the year." Late last year, CNM reported that one potential suitor for the company was Don Mills ON-based The Wynford Group Inc. ICE is the result of a merger between a live event planning company and multimedia company in the mid-1990s. Its live event planning arm was cited by sources as a reason why Wynford would be interested in acquiring ICE. Maguire confirms that Wynford was in the running, but that Sonar eventually won out. Now ICE will concentrate again on an integrated design and event business at arm’s length from its new owners. Its customer list, including Canadian Tire Corp., Canada Post, BMW, Air Canada, Florida Light & Power and others, remains the same. Sonar was founded in 1995 as a marketing/communications company. Its principals are Ron Moore, Brian Pendergrast, Ron Jenkins, and Bev Pennock. It has 30 employees. While ICE has moved into its premises, Maguire anticipates having to move out within a year as the subsidiary expands.

Sonar purchases Toronto’s ICE, operations resume

News | 01/23/2002 5:00 am EST

To keep reading, get a free trial.

Already a Subscriber?

Reuse & Permissions

Inside The Wire Report

Information

Hill Times Publishing

Get in Touch With Us