Trichome Financial Corp., Bankruptcy

Trichome Financial Corp., a Toronto Ontario-based cannabis company, filed an assignment in bankruptcy on September 29, listing approximately $24.5 million in liabilities, including $12.5 million to IM Cannabis Corp., and $5.5 million to Cortland Credit Lending Corporation. Trichome was a specialty finance company prior to June 2020, providing capital solutions to the Canadian cannabis market. Trichome purchased the assets of JWC Group in June 2020 under a Court-approved transaction as part of JWC’s CCAA proceedings. Since then, Trichome's business has been focused on the cultivation, processing and sale of premium cannabis. Trichome’s business was impaired by persistent and increasing liquidity issues. Trichome and its various subsidiaries obtained CCAA protection on November 7, 2022. A SISP was conducted, resulting in a sale to 1000370759 Ontario Inc., which closed on April 6, 2023. Accordingly, the CCAA proceedings were terminated and Trichome was placed into bankruptcy to facilitate the orderly wind-up of Trichome’s estate and allow its former employees to make WEPPA claims. Goldhar & Associates Ltd. is the bankruptcy trustee.

By: Dina Milivojevic