Cannabis company Hexo’s Zenabis subsidiary files for CCAA protection

GATINEAU, Que. – Cannabis company Hexo Corp. says Zenabis Global Inc., a wholly-owned subsidiary, has filed for protection under the Companies’ Creditors Arrangement Act.

The company says Zenabis filed the case with the Quebec Superior Court to restructure its business and financial affairs.

Hexo says the petition is limited to the Zenabis group.

Neither Hexo nor any of its subsidiaries, other than members of the Zenabis group, are petitioners or parties to the proceedings, the company says.

Hexo says Ernst and Young Inc. has been appointed monitor to oversee the CCAA proceedings.

Hexo bought Zenabis last year for $235 million.

This report from The Canadian Press was first published on June 17, 2022.

Companies in this story: (TSX: HEXO)

The Canadian Press