- Canopy Growth (TSX:WEED) has announced it has received a court-approved sale of its BioSteel sports drink subsidiary
- The decision comes after BioSteel entered into creditor protection in September
- BioSteel was founded in 2009 and was purchased by Canopy Growth in in 2019
- Shares of Canopy Growth are up 2.70 per cent to C$0.76 as of 11:17 am ET
Canopy Growth (TSX:WEED) has finally notched a court-approved sale of its BioSteel sports drink subsidiary, the company announced on Friday.
In a news release, the Smith Falls, Ontario-based cannabis company stated the court-approved decision comes after BioSteel entered into creditor protection back in September.
The company stated the court approved the transactions for all of the assets related to BioSteel Canada and BioSteel Manufacturing.
“We are pleased that this process has identified two qualified buyers for the BioSteel brand and assets,” Judy Hong, CFO of Canopy Growth, said in a statement. “The elimination of the operating loss and cash burn as a result of ceasing to fund BioSteel has already significantly enhanced Canopy Growth’s financial position.”
BioSteel Canada was founded in 2009 and was acquired by Canopy Growth in 2019 in its quest to diversify its portfolio with beverages.
Canopy Growth is one of North America’s top cannabis and consumer packaged goods companies with a wide range of premium and mainstream brands under its belt, including Doja, 7ACRES, Tweed and Deep Space. Canopy Growth’s CPG portfolio features targeted 24-hour skincare and wellness solutions from This Works, gourmet wellness products by Martha Stewart CBD, and vaporizer technology made in Germany by Storz & Bickel.
Shares of Canopy Growth are up 2.70 per cent to C$0.76 as of 11:17 am ET.
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