Canopy Growth says Ontario court has approved sale of BioSteel business

November 17, 2023 at 10:11AM EST

We’re going to eliminate the drag caused by Biosteel as we make business changes: Canopy Growth CEO David Klein, chief executive officer of Canopy Growth, joins BNN Bloomberg to discuss how he intends to turn the company around as it deals with negative earnings and its lagging Biosteel business unit.

Canopy Growth Corp. says an Ontario court has approved the sale of its BioSteel sports drink business in a pair of deals.

Financial terms of the agreements were not immediately available.

Canopy Growth chief financial officer Judy Hong says the sales process identified two qualified buyers for the BioSteel brand and assets.

Hong added that the anticipated proceeds from the sales are expected to improve Canopy Growth's balance sheet.

The first deal covers the sale of BioSteel Canada to DC Holdings Ltd., while a second agreement includes the sale of the BioSteel Manufacturing business to Gregory Packaging Inc.

Canopy put BioSteel up for sale when the sports drink business was placed under court protection from creditors under the Companies' Creditors Arrangement Act in September.

This report by The Canadian Press was first published Nov. 17, 2023.