CALGARY,
AB, Oct. 18, 2022 /CNW/ - As previously
announced, on September 26, 2022,
Sugarbud Craft Growers Corp. (TSXV: SUGR) (TSXV: SUGR.DB) (TSXV:
SUGR.WR) (TSXV: SUGR.WS) (TSXV: SUGR.WT) (OTCQB: SBUDD),
together with its subsidiaries (collectively "Sugarbud")
commenced a restructuring process by filing notices of intention to
make a proposal (the "NOI Proceedings") under the Bankruptcy
and Insolvency Act (Canada), as
amended (the "BIA"). Alvarez & Marsal Canada Inc.
("A&M") was appointed as proposal trustee.
Sugarbud announces today that, pursuant to an order granted by
the Court of King's Bench of Alberta on October 18,
2022 (the "Order"), its NOI Proceedings have been
continued under the Companies' Creditor Arrangement Act (the
"CCAA"), with A&M transitioning from its role as
proposal trustee to the role of monitor under the CCAA. Sugarbud
will continue in its efforts to restructure its debt and conduct
its sale and investment solicitation process under the protection
of the CCAA. The interim financing obtained by Sugarbud under the
NOI is continued under the CCAA. The initial stay of proceedings
under the CCAA will expire on December 10,
2022 and may be renewed thereafter.
A copy of the Order is available at:
www.alvarezandmarsal.com/sugarbud.
About Sugarbud
Sugarbud is a consumer-driven craft cannabis company focused on
the cultivation and production of superior, select-batch, craft
cannabis products. Federally licensed in Cannabis 1.0 and Cannabis
2.0, Sugarbud operates out of a 100% owned, 29,800 square foot
cultivation and processing facility in Stavely, Alberta. Our vision and mission are
to become a trusted and well-respected consumer brand renowned for
providing exceptional high-quality craft cannabis products to legal
markets by delighting the most discerning of cannabis
consumers.
Websites: http://www.sugarbud.ca/
http://craftcannabiscollection.ca/
Advisory
Certain statements contained in this news release constitute
forward-looking statements and future oriented financial
information. These statements relate to future events. All
statements other than statements of historical fact are
forward-looking statements or future oriented financial
information. The use of the words "anticipates", "should", ''may",
"expected", "expects", "believes" and other words of a similar
nature are intended to identify forward-looking statements or
future oriented financial information. These statements involve
known and unknown risks, uncertainties and other factors that may
cause actual results or events to differ materially from those
anticipated in such forward-looking statements or, as applicable,
future oriented financial information. Such statements include the
statement with respect to the ruling of applicable judicial
authorities having jurisdiction over Sugarbud's insolvency
proceedings, the restructuring of Sugarbud's debts under the CCAA,
and the expiry/renewal of the stay of proceedings under the CCAA.
Although Sugarbud believes these statements to be reasonable, no
assurance can be given that these expectations will prove to be
correct and such forward-looking statements and future oriented
financial information included in this news release should not be
unduly relied upon. Any number of important factors could cause
actual results to differ materially from those in the
forward-looking statements including, but not limited to:
Sugarbuds's continued viability as a going concern; the risk that
Sugarbud may not become profitable; A&M's ability to complete a
transaction pursuant to the terms of the Order; currently
contemplated expansion and development plans may cease or otherwise
change, production of cannabis may be lower than expected; ability
to ship cannabis products may be lower than expected; demand for
Sugarbud's products, assets or property may be lower than
anticipated, results of production and sale activities; results of
scientific research; changes in prices and costs of inputs; demand
for products; failure of counter-parties to perform contractual
obligations; failure to maintain consumer brand recognition and
loyalty of customers; reliance on relationships with wholesalers
and retailers for distribution of products and failure to maintain
strategic business relationships; intense competition, including
from illicit sources; uncertainty and continued evolution of
markets; product liability litigation; reliance on information
technology; infringement on intellectual property; failure to
benefit from partnerships; sensitivity of end-customers to
increased sales taxes and economic conditions; failure to comply
with certain regulations; departure of key management
personal or inability to attract and retain talent; actions
and initiatives of federal and provincial governments and changes
to government actions; initiatives and policies and the execution
and impact thereof; the ability to implement corporate strategies;
the state of domestic capital markets; the ability to obtain
financing; changes in general market conditions; industry
conditions and events; the size of the medical marijuana market and
the recreational marijuana market; government regulations;
including future legislative and regulatory developments involving
medical and recreational marijuana; construction delays; risks
inherent in the agricultural business, such as insects, plant
diseases and similar agricultural risks which can have a
significant impact on the size and quality of the harvest of
cannabis crops; competition from other industry participants; and
other factors more fully described from time to time in the reports
and filings made by Sugarbud with security regulatory
authorities.
Forward looking statements involve known and unknown risks,
uncertainties and other factors that may cause actual results or
events to differ materially from those anticipated in such
forward-looking statements. Actual results could differ materially
from those anticipated in these forward-looking statements as a
result of prevailing economic conditions, and other factors, many
of which are beyond the control of Sugarbud. Although Sugarbud
believes these statements to be reasonable, no assurance can be
given that these expectations will prove to be correct and such
forward-looking statements included in this news release should not
be unduly relied upon. The forward-looking statements
contained in this news release represent Sugarbud's expectations as
of the date hereof and are subject to change after such date.
Sugarbud disclaims any intention or obligation to update or revise
any forward-looking statements whether as a result of new
information, future events or otherwise, except as may be required
by applicable securities regulations.
Neither the TSX-V nor its Regulation Service Provider (as that
term is defined in policies of the TSX-V) accepts responsibility
for the adequacy or accuracy of this news release.
SOURCE Sugarbud Craft Growers Corp.
