Lifeist Wellness has commenced restructuring proceedings pursuant to the Bankruptcy and Insolvency Act for one of its wholly owned subsidiaries, CannMart Labs. The restructuring of CannMart Labs is part of a broader strategic initiative to enhance the company’s operational effectiveness while maintaining its commitment to innovation and growth. It is important to note that this restructuring does not impact CannMart Inc., Lifeist’s flagship subsidiary and a leading distributor of licensed and in-house branded adult-use cannabis and cannabis-derived products in Canada. Following the vote of shareholders at the Company’s recent annual general and special meeting rejecting the sale of the CannMart Group, Lifeist’s cannabis operating division, management undertook a bottom-up review of the businesses to identify opportunities for optimization and improvement. The decision to restructure CannMart Labs was made with input from advisors and legal counsel, with the objective of achieving sustainable growth toward future profitability for the benefit of all Lifeist shareholders. This strategic move is part of a broader commitment to ensure the long-term success of the public company. While the restructuring does not apply to CannMart Inc., this strategic move aims to optimize operational efficiency and streamline the company’s focus in alignment with its long-term vision. The decision to initiate restructuring proceedings for CannMart Labs underscores Lifeist’s dedication to adaptability and resilience in navigating the dynamic landscape of the cannabis industry. By optimizing the operational structure of CannMart Labs, Lifeist aims to bolster its ability to deliver innovative wellness solutions that positively impact the lives of its customers.
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