Delta 9 Cannabis Inc. (TSX: DN) (OTC: DLTNF) obtained an initial order for creditor protection from the Court of King’s Bench of Alberta under the Companies’ Creditors Arrangement Act (CCAA). The initial order provides for a 10-day stay of creditor claims for it and its subsidiaries: Delta 9 Logistics Inc., Delta 9 Bio-Tech Inc., Delta 9 Lifestyle Cannabis Clinic Inc. and Delta 9 Cannabis Store Inc.
Delta 9 also told investors it expects that the Toronto Stock Exchange might consider delisting the company.
In a statement, the company said that the decision to declare the Canadian version of bankruptcy was made after consideration of the cash and liquidity position of the company, the amount of debt, and the company’s inability to repay such debt over the next twelve months. That includes payments to suppliers and trade creditors and the limited ability to raise further capital.
The company also cited aggressive actions by SNDL…
