CannTrust announced May 15 that the company has initiated a Sale and Investment Solicitation Process (SISP) as it tries to save what’s left of its operations.
SISPs are designed to solicit interest in, and opportunities for, a sale of or investment in all or part of a company’s assets and/or business operations.
Such a sell-off could theoretically include any number of the company’s assets, including its Fenwick facility.
CannTrust filed for creditor protection March 31 after an eight-month corporate tailspin that began when a former employee blew the whistle on illegal growing in Fenwick.
On May 8, the Ontario Superior Court of Justice, which granted the creditor protection, authorized and directed CannTrust to pursue the SISP. The two-phased process has an initial deadline of June 22.
CannTrust was delisted from both the New York and Toronto Stock Exchanges this spring, and has not filed any official financial statements in a year. With its Health Canada growing licence still suspended due to the federal violations, cannabis is not being grown and little to no revenue has been flowing into the company.
Still, a CannTrust spokesperson told the Voice in April that the company would continue to operate in a “business-as- usual mode” as it went through its reorganization process.
