MedMen Announces the Opening of Insolvency Proceedings and the Resignation of Its CFO and Directors

BOCA RATON, Fla. — MedMen Enterprises Inc. (“With but” or the “Pursue“), a cannabis company with subsidiaries throughout the United States, today announced that it has filed for bankruptcy under Canada’s Bankruptcy and Insolvency Law (The “bankruptcy proceedings“) on April 24, 2024 and B. Riley Farber Inc. was appointed as the Company’s receiver (in this capacity the “liquidator“). The Company’s Chief Financial Officer, Amit Pandey, resigned with effect from February 13, 2024, and all of the Company’s directors resigned immediately prior to the commencement of the insolvency proceedings.

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Also on April 23, 2024, the Company’s wholly owned subsidiary, MM CAN USA, Inc., a California corporation, was placed into receivership in the Los Angeles Superior Court, Santa Monica Division (“LASC”) to effectuate its orderly dissolution and liquidation California-based assets. The company’s current Chief Restructuring Officer has officially resigned and is now appointed by LASC as receiver of MM CAN USA, Inc. Consideration will be given to pursuing additional bankruptcy proceedings in the U.S. states in which MM CAN USA, Inc. controls or owns assets. As a result of such bankruptcy proceedings, the operations and assets of MedMen’s subsidiaries will be dissolved or liquidated in accordance with applicable laws in the United States.

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The difficult decision to cease operations and initiate insolvency and bankruptcy proceedings was made after careful consideration of the current financial position of the Company and its subsidiaries, their inability to pay their liabilities as they fall due, and the expected enforcement actions of secured creditors. After careful consideration of these factors and in the absence of other available alternatives, the Company’s Board of Directors determined that it was in the Company’s best interest to proceed with the initiation of insolvency and bankruptcy proceedings.

Further information about the bankruptcy process can be found on the bankruptcy trustee’s website at: https://brileyfarbener.com/engagements/medmen-enterprises-inc/. For further information about the insolvency process, please contact the insolvency administrator at [email protected]. MedMen will continue to fail to comply with applicable Canadian securities laws and regulations. Trading of MedMen on the Canadian Securities Exchange (CSE) has been suspended. MedMen is expected to eventually be delisted.

ABOUT MEDICATIONS:

MedMen is an American cannabis company dedicated to improving lives with Cannabis for All. With offices throughout the United States in California, Nevada, Illinois, Massachusetts and New York, MedMen is known for its leading brands MedMen® and LuxLyte®, which provide cannabis in consumer-preferred product forms for medical and recreational use.

Forward-Looking Statements:

Certain statements contained in this press release constitute “forward-looking statements” within the meaning of the federal securities laws, including the Private Securities Litigation Reform Act of 1995, and forward-looking information within the meaning of the Canadian securities laws (each referred to as “forward-looking statements”). Forward-looking statements include statements regarding intentions, beliefs, forecasts, prospects, analyzes or current expectations, including the expected outcome of the bankruptcy proceedings, the impact thereof on the Company’s operating subsidiaries and the expectations that the bankruptcy trustee will seek to recognize in the bankruptcy proceedings under the Bankruptcy Code of the United States United States, anticipated enforcement actions by secured creditors and the Company’s continued non-compliance with applicable Canadian securities laws. Many factors could cause actual results, performance or achievements to differ materially from any forward-looking statements, and other risks and uncertainties not currently known to MedMen or that MedMen considers to be immaterial could also cause actual results or events to occur These statements differ materially from those expressed in the forward-looking statements contained herein. Forward-looking statements involve known and unknown risks, uncertainties and other factors that may cause actual results to differ materially from any future results expressed or implied by such forward-looking statements, and you should not rely on them as a prediction of future events. The forward-looking statements contained in this release are made as of the date hereof and MedMen undertakes no obligation to publicly update any such forward-looking statements to reflect new information, subsequent events or otherwise, except as required by applicable securities laws.