Canopy Growth Corp (WEED)

[awesomesound]

Canadian cannabis insolvencies persist in 2023 amid industry woes

I will say again There is no money too be made in commercial weed, and what money that does trickle in, goes directly into the wallets of stockmarket millionaire weed executives.

We couldn’t make a go of it’

The CCAA allows insolvent Canadian companies to apply for a court order to keep creditors at bay while the company restructures its debts or seeks a buyer or new financing.

In the cannabis sector, a number of CCAA cases have featured a debtor-in-possession loan from a would-be buyer, who puts in a stalking-horse bid to buy the insolvent company or some of its assets.

Notable Canadian cannabis CCAA filings in 2023 included:

Major retail chain Fire & Flower Holdings, which was acquired through insolvency proceedings by privately held retailer Fika Cannabis.
Producer Aleafia Health, which is in the process of being purchased by U.S. multistate cannabis company Red White & Bloom Brands.
Phoena Group, risen from the ashes of predecessor company CannTrust, which faced a major scandal involving growing plants in unlicensed areas of its facility.
Other CCAA filings involving marijuana companies and cannabis-related entities this past year included:

Chalice Brands, a Canadian company with cannabis assets in Oregon.
Investment company Plant-Based Investment Corp., previously known as Cannabis Growth Opportunity Corp.
Capcium, which created softgel capsules for the cannabis industry and other sectors.
Beverage company BioSteel Sports Nutrition, owned by cannabis company Canopy Growth Corp.

https://mjbizdaily.com/canadian-cannabis-insolvencies-persist-in-2023/