4Front Ventures, a vertically integrated cannabis operator, has made an assignment into bankruptcy pursuant to the Canadian Bankruptcy and Insolvency Act.
The announcement comes after the company said all its U.S. subsidiaries have filed for a voluntary receivership.
"The 4Front board made this decision only as a last resort," said 4Front Board Chairman Kris Krane. "While we believe 4Front's cultivation and manufacturing operations are standouts and its retail stores have found exciting new ways to engage consumers, the liabilities on the company's balance sheet coupled with a lack of available financing for operations have forced us to file for a voluntary receivership in order to pursue an orderly sale of the company's businesses. The 4Front board gave careful consideration to the duties owed to all stakeholders, and in the absence of other available alternatives, determined that it was in the best interests of the company and its stakeholders to voluntarily request a receivership and court protection."
