BioSteel: Financial Struggles and Search for a Buyer

BioSteel, a sports drink company, has sought creditor protection in both the United States and Canada as it endeavors to locate a buyer for its business

[{"selector":"#anim-59f7a0c9-9a6c-4776-8d4d-fd7959162c74 [data-leaf-element=\"true\"]","keyframes":{"transform":["translate(-12.187500163390517%, 0%) scale(1.5)","translate(0%, 0%) scale(1)"]},"delay":0,"duration":2000,"easing":"cubic-bezier(.3,0,.55,1)","fill":"forwards"}] [{"selector":"#anim-ea2e4d58-cb2a-44f4-9e07-d644d8425e53","keyframes":{"transform":["translate3d(-110.61946%, 0px, 0)","translate3d(0px, 0px, 0)"]},"delay":0,"duration":600,"easing":"cubic-bezier(0.4, 0.4, 0.0, 1)","fill":"both"}] [{"selector":"#anim-454bbf4d-0345-417a-994c-82c30302ae56","keyframes":{"opacity":[0,1]},"delay":0,"duration":600,"easing":"cubic-bezier(0.4, 0.4, 0.0, 1)","fill":"both"}] [{"selector":"#anim-43d58130-b206-483a-a867-09c91e3004c4","keyframes":{"transform":["scale(0.15)","scale(1)"]},"delay":0,"duration":600,"easing":"cubic-bezier(0.4, 0.4, 0.0, 1)","fill":"forwards"}] [{"selector":"#anim-da3d231a-b963-479c-a927-6d1aa2b27f61","keyframes":{"transform":["translate3d(115.85760%, 0px, 0)","translate3d(0px, 0px, 0)"]},"delay":0,"duration":600,"easing":"cubic-bezier(0.4, 0.4, 0.0, 1)","fill":"both"}] [{"selector":"#anim-0339f0ce-17dc-4fcc-8b9f-8a25f78a074e","keyframes":{"opacity":[0,1]},"delay":0,"duration":600,"easing":"cubic-bezier(0.4, 0.4, 0.0, 1)","fill":"both"}] [{"selector":"#anim-1e2c1cf0-c2b1-4125-ba3a-32522abf7166","keyframes":{"transform":["scale(0.15)","scale(1)"]},"delay":0,"duration":600,"easing":"cubic-bezier(0.4, 0.4, 0.0, 1)","fill":"forwards"}] Canopy Growth, the largest cannabis company in North America, has stopped funding BioSteel Sports Nutrition Inc., leading to this decision

[{"selector":"#anim-a624a828-0b00-4975-8a85-bb4c2ee9207f [data-leaf-element=\"true\"]","keyframes":{"transform":["translate(-12.187500163390517%, 0%) scale(1.5)","translate(0%, 0%) scale(1)"]},"delay":0,"duration":2000,"easing":"cubic-bezier(.3,0,.55,1)","fill":"forwards"}] [{"selector":"#anim-e747746f-1d09-468a-b0a0-d7bec8de149f","keyframes":{"transform":["translate3d(-110.61946%, 0px, 0)","translate3d(0px, 0px, 0)"]},"delay":0,"duration":600,"easing":"cubic-bezier(0.4, 0.4, 0.0, 1)","fill":"both"}] [{"selector":"#anim-8408a58e-a794-466a-9a7f-397db328797b","keyframes":{"opacity":[0,1]},"delay":0,"duration":600,"easing":"cubic-bezier(0.4, 0.4, 0.0, 1)","fill":"both"}] [{"selector":"#anim-e3066e9f-198c-4526-9695-ab587e027378","keyframes":{"transform":["scale(0.15)","scale(1)"]},"delay":0,"duration":600,"easing":"cubic-bezier(0.4, 0.4, 0.0, 1)","fill":"forwards"}] [{"selector":"#anim-ceaff7b6-926d-49e4-8cf3-710e499115af","keyframes":{"transform":["translate3d(117.04179%, 0px, 0)","translate3d(0px, 0px, 0)"]},"delay":0,"duration":600,"easing":"cubic-bezier(0.4, 0.4, 0.0, 1)","fill":"both"}] [{"selector":"#anim-464b7e42-8abd-45d2-a1d2-cf5f4c6652ca","keyframes":{"opacity":[0,1]},"delay":0,"duration":600,"easing":"cubic-bezier(0.4, 0.4, 0.0, 1)","fill":"both"}] [{"selector":"#anim-9d903e13-0157-4916-a4fa-8503ace43bf7","keyframes":{"transform":["scale(0.15)","scale(1)"]},"delay":0,"duration":600,"easing":"cubic-bezier(0.4, 0.4, 0.0, 1)","fill":"forwards"}] Companies opt for the Companies Creditors Arrangement Act (CCAA) when they need court assistance to safeguard their interests from creditors while restructuring or winding down operations

[{"selector":"#anim-aa9892fc-b2c6-4661-af13-0ace863a75c3 [data-leaf-element=\"true\"]","keyframes":{"transform":["translate(-12.187500163390517%, 0%) scale(1.5)","translate(0%, 0%) scale(1)"]},"delay":0,"duration":2000,"easing":"cubic-bezier(.3,0,.55,1)","fill":"forwards"}] [{"selector":"#anim-81c1cab4-3e67-4602-9e5f-06d55423436b","keyframes":{"transform":["translate3d(-110.61946%, 0px, 0)","translate3d(0px, 0px, 0)"]},"delay":0,"duration":600,"easing":"cubic-bezier(0.4, 0.4, 0.0, 1)","fill":"both"}] [{"selector":"#anim-ef37a423-272a-4a0b-9ff4-88585fe13fd3","keyframes":{"opacity":[0,1]},"delay":0,"duration":600,"easing":"cubic-bezier(0.4, 0.4, 0.0, 1)","fill":"both"}] [{"selector":"#anim-ea8cf0a2-0d00-4824-bdc6-3ef42d7b17cb","keyframes":{"transform":["scale(0.15)","scale(1)"]},"delay":0,"duration":600,"easing":"cubic-bezier(0.4, 0.4, 0.0, 1)","fill":"forwards"}] [{"selector":"#anim-fa66b3e8-1fd1-4290-b27d-a1cdd0856bac","keyframes":{"transform":["translate3d(117.04179%, 0px, 0)","translate3d(0px, 0px, 0)"]},"delay":0,"duration":600,"easing":"cubic-bezier(0.4, 0.4, 0.0, 1)","fill":"both"}] [{"selector":"#anim-47d7f2b0-8b25-4b05-90df-9b0358e75c0b","keyframes":{"opacity":[0,1]},"delay":0,"duration":600,"easing":"cubic-bezier(0.4, 0.4, 0.0, 1)","fill":"both"}] [{"selector":"#anim-909b0994-83c3-4011-8a30-673e9871ebda","keyframes":{"transform":["scale(0.15)","scale(1)"]},"delay":0,"duration":600,"easing":"cubic-bezier(0.4, 0.4, 0.0, 1)","fill":"forwards"}] Founded in Toronto in 2009, BioSteel gained prominence through marketing agreements with numerous NHL, NBA, and NFL teams and notable athletes like Connor McDavid, Nathan MacKinnon, and John Tavares

[{"selector":"#anim-ebcf4cab-e7db-4978-a981-ada7b1383afc [data-leaf-element=\"true\"]","keyframes":{"transform":["translate(-12.187500163390517%, 0%) scale(1.5)","translate(0%, 0%) scale(1)"]},"delay":0,"duration":2000,"easing":"cubic-bezier(.3,0,.55,1)","fill":"forwards"}] [{"selector":"#anim-41c3f1f4-8fb7-4eff-8fe1-2cc8ff9bb5d0","keyframes":{"transform":["translate3d(-110.61946%, 0px, 0)","translate3d(0px, 0px, 0)"]},"delay":0,"duration":600,"easing":"cubic-bezier(0.4, 0.4, 0.0, 1)","fill":"both"}] [{"selector":"#anim-44856d59-9c0a-4cc8-9b90-089771a33fba","keyframes":{"opacity":[0,1]},"delay":0,"duration":600,"easing":"cubic-bezier(0.4, 0.4, 0.0, 1)","fill":"both"}] [{"selector":"#anim-3de5db40-6146-40e3-b687-c7cbe1477f5b","keyframes":{"transform":["scale(0.15)","scale(1)"]},"delay":0,"duration":600,"easing":"cubic-bezier(0.4, 0.4, 0.0, 1)","fill":"forwards"}] [{"selector":"#anim-4cbd1b09-4229-47ef-870a-4c980c4ed8cb","keyframes":{"transform":["translate3d(111.65644%, 0px, 0)","translate3d(0px, 0px, 0)"]},"delay":0,"duration":600,"easing":"cubic-bezier(0.4, 0.4, 0.0, 1)","fill":"both"}] [{"selector":"#anim-54a45d5d-2392-49c6-befc-5d1e7b5e0681","keyframes":{"opacity":[0,1]},"delay":0,"duration":600,"easing":"cubic-bezier(0.4, 0.4, 0.0, 1)","fill":"both"}] [{"selector":"#anim-6b986520-3b52-4d05-af44-96b423489e22","keyframes":{"transform":["scale(0.15)","scale(1)"]},"delay":0,"duration":600,"easing":"cubic-bezier(0.4, 0.4, 0.0, 1)","fill":"forwards"}] Canopy Growth acquired BioSteel in 2019 with the intent to diversify its product line into beverages, a strategy that hasn't yielded the expected results

[{"selector":"#anim-2c40f879-6eb3-4da0-b730-126f1477d502 [data-leaf-element=\"true\"]","keyframes":{"transform":["translate(-12.187500163390517%, 0%) scale(1.5)","translate(0%, 0%) scale(1)"]},"delay":0,"duration":2000,"easing":"cubic-bezier(.3,0,.55,1)","fill":"forwards"}] [{"selector":"#anim-9ea4ce29-fba1-47b0-95d8-bba5cd493458","keyframes":{"transform":["translate3d(-110.61946%, 0px, 0)","translate3d(0px, 0px, 0)"]},"delay":0,"duration":600,"easing":"cubic-bezier(0.4, 0.4, 0.0, 1)","fill":"both"}] [{"selector":"#anim-ade352fe-4e66-42cb-a7ca-c835b0ce0fe1","keyframes":{"opacity":[0,1]},"delay":0,"duration":600,"easing":"cubic-bezier(0.4, 0.4, 0.0, 1)","fill":"both"}] [{"selector":"#anim-05e7e5f1-9402-48c7-9d21-3e74e5dcdddc","keyframes":{"transform":["scale(0.15)","scale(1)"]},"delay":0,"duration":600,"easing":"cubic-bezier(0.4, 0.4, 0.0, 1)","fill":"forwards"}] [{"selector":"#anim-77cb1683-ff2e-4d4d-b450-63b6e6232b84","keyframes":{"transform":["translate3d(111.65644%, 0px, 0)","translate3d(0px, 0px, 0)"]},"delay":0,"duration":600,"easing":"cubic-bezier(0.4, 0.4, 0.0, 1)","fill":"both"}] [{"selector":"#anim-8ef58b09-ac39-49c9-8b55-91b388bb9529","keyframes":{"opacity":[0,1]},"delay":0,"duration":600,"easing":"cubic-bezier(0.4, 0.4, 0.0, 1)","fill":"both"}] [{"selector":"#anim-beed5c41-4fe5-4430-8472-ae1ebc85af54","keyframes":{"transform":["scale(0.15)","scale(1)"]},"delay":0,"duration":600,"easing":"cubic-bezier(0.4, 0.4, 0.0, 1)","fill":"forwards"}] BioSteel filed for CCAA protection due to a lack of funding, resulting in negative operating cash flow, necessitating a court-supervised sale process

[{"selector":"#anim-ef948cc6-f297-42bc-abcb-b643f2b50fcd [data-leaf-element=\"true\"]","keyframes":{"transform":["translate(-12.187500163390517%, 0%) scale(1.5)","translate(0%, 0%) scale(1)"]},"delay":0,"duration":2000,"easing":"cubic-bezier(.3,0,.55,1)","fill":"forwards"}] [{"selector":"#anim-7e3391bb-e7c1-4447-8c04-70b9d64eec24","keyframes":{"transform":["translate3d(-110.61946%, 0px, 0)","translate3d(0px, 0px, 0)"]},"delay":0,"duration":600,"easing":"cubic-bezier(0.4, 0.4, 0.0, 1)","fill":"both"}] [{"selector":"#anim-4598d90f-710c-43e4-8d42-a905dc61cb80","keyframes":{"opacity":[0,1]},"delay":0,"duration":600,"easing":"cubic-bezier(0.4, 0.4, 0.0, 1)","fill":"both"}] [{"selector":"#anim-068bc041-7422-45d1-8653-2fbdb3cf81ad","keyframes":{"transform":["scale(0.15)","scale(1)"]},"delay":0,"duration":600,"easing":"cubic-bezier(0.4, 0.4, 0.0, 1)","fill":"forwards"}] [{"selector":"#anim-181163e1-102c-46c2-9152-5b20fb36783d","keyframes":{"transform":["translate3d(111.65644%, 0px, 0)","translate3d(0px, 0px, 0)"]},"delay":0,"duration":600,"easing":"cubic-bezier(0.4, 0.4, 0.0, 1)","fill":"both"}] [{"selector":"#anim-85683457-c7b5-4e68-aa20-5b2f34a29412","keyframes":{"opacity":[0,1]},"delay":0,"duration":600,"easing":"cubic-bezier(0.4, 0.4, 0.0, 1)","fill":"both"}] [{"selector":"#anim-87fbaa6f-b704-4e79-aeef-8532482b54a8","keyframes":{"transform":["scale(0.15)","scale(1)"]},"delay":0,"duration":600,"easing":"cubic-bezier(0.4, 0.4, 0.0, 1)","fill":"forwards"}] Canopy Growth invested approximately $366 million in BioSteel since the acquisition, with the company burning through about $15 million in cash monthly

[{"selector":"#anim-1b43c393-e743-451f-afc8-d891453f45c7 [data-leaf-element=\"true\"]","keyframes":{"transform":["translate(-12.187500163390517%, 0%) scale(1.5)","translate(0%, 0%) scale(1)"]},"delay":0,"duration":2000,"easing":"cubic-bezier(.3,0,.55,1)","fill":"forwards"}] [{"selector":"#anim-bfb534d9-8376-4790-b59b-7987461a7b22","keyframes":{"transform":["translate3d(-110.61946%, 0px, 0)","translate3d(0px, 0px, 0)"]},"delay":0,"duration":600,"easing":"cubic-bezier(0.4, 0.4, 0.0, 1)","fill":"both"}] [{"selector":"#anim-89cb51de-9f08-4f10-8c57-2124d5e09773","keyframes":{"opacity":[0,1]},"delay":0,"duration":600,"easing":"cubic-bezier(0.4, 0.4, 0.0, 1)","fill":"both"}] [{"selector":"#anim-fe1a39d8-5750-412c-87d8-8827558a6637","keyframes":{"transform":["scale(0.15)","scale(1)"]},"delay":0,"duration":600,"easing":"cubic-bezier(0.4, 0.4, 0.0, 1)","fill":"forwards"}] [{"selector":"#anim-4858dae9-0a33-4f2f-93f5-f353e631cf74","keyframes":{"transform":["translate3d(111.65644%, 0px, 0)","translate3d(0px, 0px, 0)"]},"delay":0,"duration":600,"easing":"cubic-bezier(0.4, 0.4, 0.0, 1)","fill":"both"}] [{"selector":"#anim-721938f9-6ea4-4bc3-80f6-90865c9f8e50","keyframes":{"opacity":[0,1]},"delay":0,"duration":600,"easing":"cubic-bezier(0.4, 0.4, 0.0, 1)","fill":"both"}] [{"selector":"#anim-1675cb27-285c-4621-91f3-b4dba4c4a3b5","keyframes":{"transform":["scale(0.15)","scale(1)"]},"delay":0,"duration":600,"easing":"cubic-bezier(0.4, 0.4, 0.0, 1)","fill":"forwards"}] Cutting off BioSteel is seen as a positive move for Canopy Growth's finances, as the sports drink company was responsible for 60% of its financial losses in the current fiscal year

[{"selector":"#anim-6a37bcc6-4b0b-4034-86fa-fab5b8f39b12 [data-leaf-element=\"true\"]","keyframes":{"transform":["translate(-12.187500163390517%, 0%) scale(1.5)","translate(0%, 0%) scale(1)"]},"delay":0,"duration":2000,"easing":"cubic-bezier(.3,0,.55,1)","fill":"forwards"}] [{"selector":"#anim-c2f7c951-3f73-4c1e-8903-8f36aaa9341c","keyframes":{"transform":["translate3d(-110.61946%, 0px, 0)","translate3d(0px, 0px, 0)"]},"delay":0,"duration":600,"easing":"cubic-bezier(0.4, 0.4, 0.0, 1)","fill":"both"}] [{"selector":"#anim-eb14c6f0-63d4-47fd-807e-398dfbbd85f3","keyframes":{"opacity":[0,1]},"delay":0,"duration":600,"easing":"cubic-bezier(0.4, 0.4, 0.0, 1)","fill":"both"}] [{"selector":"#anim-e646f4b8-ecf8-49af-870c-e4671a8c300c","keyframes":{"transform":["scale(0.15)","scale(1)"]},"delay":0,"duration":600,"easing":"cubic-bezier(0.4, 0.4, 0.0, 1)","fill":"forwards"}] [{"selector":"#anim-df3047a7-8922-4cc9-bc48-a798fd988190","keyframes":{"transform":["translate3d(111.65644%, 0px, 0)","translate3d(0px, 0px, 0)"]},"delay":0,"duration":600,"easing":"cubic-bezier(0.4, 0.4, 0.0, 1)","fill":"both"}] [{"selector":"#anim-150303cd-888d-490d-bf9a-2fdddc822ca8","keyframes":{"opacity":[0,1]},"delay":0,"duration":600,"easing":"cubic-bezier(0.4, 0.4, 0.0, 1)","fill":"both"}] [{"selector":"#anim-0bcd67f9-17bc-4514-ac8f-67779d98d01a","keyframes":{"transform":["scale(0.15)","scale(1)"]},"delay":0,"duration":600,"easing":"cubic-bezier(0.4, 0.4, 0.0, 1)","fill":"forwards"}] The insolvency filing will lead to the layoff of around 181 BioSteel employees, while the fate of the remaining workforce remains uncertain