Smith Falls-based Canopy Growth has obtained creditor protection for its BioSteel Sports Nutrition division and intends to seek permission to sell the business.
Canopy says it pursued creditor protection because its sport drink business BioSteel no longer has access to funding.
The company described BioSteel as a “significant drag” on its profitability, saying credit protection would help the company focus on its core cannabis operation.
The move comes after Canopy said in June that it made management changes and parted ways with some staff after uncovering “material misstatements” in BioSteel’s previous financial filings.
From the Canadian Press