Deals to sell BioSteel assets result in $30.4M in aggregate gross proceeds: Canopy

BioSteel water bottles are seen during the opening day of the Vancouver Canucks NHL hockey training camp. Canopy Growth Corp. says its aggregate gross proceeds from selling off sports drink business total $30.4 million. THE CANADIAN PRESS/Darryl Dyck

Canopy Growth Corp. says the aggregate gross proceeds from selling off its sports drink business total $30.4 million.

The Smiths Falls, Ont., cannabis company says the proceeds come from two agreements linked to BioSteel Sports Nutrition Inc. that have closed.

The first deal involved the sale of BioSteel Canada to DC Holdings Ltd., which does business as Coachwood Group of Companies and also owns sports nutrition brand Canadian Protein.

The second transaction saw BioSteel sell its manufacturing business to New Jersey-based Gregory Packaging Inc., which is behind SunCup juice cartons.

Canopy says a portion of the proceeds will be used to repay debt.

The cannabis company 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.

– The Canadian Press

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