Aleafia Health Inc. (TSX:AH) et al., CCAA

Aleafia Health Inc. (TSX:AH) et al., an Ontario-based group of cannabis companies, obtained CCAA protection on July 15, 2023. While the companies’ financial difficulties were driven by a variety of factors, the significant net losses suffered by the companies have largely stemmed from a cash flow crisis and general issues facing the cannabis sector. The companies’ cash position is currently not sufficient to meet their obligations as they come due. KSV is the Monitor, represented by Osler. Aird & Berlis is counsel for the company, Gowling WLG is counsel for the lender Red White & Bloom Brands, while FTI is the financial advisor to the lender, McCarthy Tétrault is counsel for 1260356 Ontario Limited and Royal Group Resources Ltd., and Bennett Jones is counsel for the Ad Hoc Committee of the Convertible Debentureholders.

By: Dina Milivojevic