Canadian Cannabis Retail Giant Tokyo Smoke Restructures, Seeks Stronger Future Via $56.7M Share Deal
Canadian recreational cannabis retailer Tokyo Smoke entered into a share subscription agreement with TS Investments Corp., its parent company. Under the deal, TS Investments will subscribe to all of the issued and outstanding shares of Tokyo Smoke.
The deal is valued at roughly $56.7 million (CA$77 million).
What Happened: Tokyo Smoke, previously owned by Canopy Growth Corporation (NASDAQ:CGC) (TSX:WEED), announced in August that it started restructuring its business and obtained an initial order under the Companies Creditors Arrangement Act (CCAA) from the Ontario Superior Court of Justice in Canada.
As a result, the company agreed to close 29 of its stores, with the continued operation of approximately 167 locations …