Beleaguered Canada-based Canopy Growth Corp. (TSX: WEED) (Nasdaq: CGC) announced Thursday that it sold one of its California facilities in the town of Modesto. The sale brings Canopy to C$81 million in income from unloading five total properties since April 1, as the company scrambles to deal with a massive debt load and billions in losses.
Canopy said it anticipates reaching C$150 million in income through similar asset sales by Sept. 30, as part of its “path to profitability.”
“Today’s announcement reflects our continued focus on strengthening Canopy Growth’s balance sheet and demonstrates the rapid execution of our transformation to an asset-light, North American-focused cannabis business on an accelerated path to profitability,” David Klein, CEO of Canopy Growth, said in a press release.
The sale is the latest in a series of panic signals at Canopy, after the company was removed from the S&P/TSX index, saw its primary accounting firm resign, and watched as an enormous bet on the U.S. cannabis market has failed to thus far pay dividends due to a lack of federal reform.