CAN (BC): Invictus granted creditor protection to stabilize business

Invictus MD Strategies has announced that on Thursday, February 13, 2020, the Supreme Court of British Columbia issued an order granting the Company’s application for creditor protection under the Companies’ Creditors Arrangement Act (Canada) (“CCAA”). The order also extends protection to Greener Pastures MD Ltd., Acreage Pharms Ltd. (“Acreage”), and 2015059 Alberta Ltd. (together with the Company, the “Invictus Group”).

"The Company sought creditor protection for the Invictus Group to stabilize its business, pursue strategic alternatives and address near term liquidity issues as a result of a demand and a notice of intention to enforce security received by Acreage (the primary operating entity of the Invictus Group) from its secured lender ATB Financial," the team with the company explains. "The total amount demanded was $10,618,207.95, together with legal and professional fees, premium, make-whole, costs, charges, disbursements and expenses incurred by ATB Financial."

"In accordance with the initial order granted in the CCAA proceedings, ATB Financial, and all other creditors, are stayed from enforcing against the Invictus Group. The Court appointed PricewaterhouseCoopers to serve as monitor in the CCAA proceedings."

After reviewing a number of options and careful consideration of all available alternatives following thorough consultation with its legal and financial advisors, the Board of Directors of the Company determined that a CCAA proceeding was the most effective way to maximize stakeholder value, to address short-term liquidity challenges and continue to operate the business. "While in CCAA protection, the Invictus Group will continue its normal day-to-day operations and plans to commence a review of strategic alternatives in the immediate future," they further explain.

The Company also announced that Marc Ripa, Interim Chief Executive Officer of the Company, has resigned as Interim Chief Executive Officer and Chief Operating Officer of the Company and any of the Company’s subsidiaries, effective at the close of business on Friday, February 14, 2020. "Mr. Ripa will remain as a member of the Company’s Board of Directors to assist with a transition. The Board of Directors of the Company has not yet appointed a replacement for Mr. Ripa as Interim Chief Executive Officer," the company concludes. 

For more information:
Invictus MD
#300 15047 Marine Drive,
White Rock, BC.
V4B 1C5

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