HEXO Slashes Workforce by 200 – New Cannabis Ventures

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October 24, 2019 at 1:32 pm

Published by NCV Newswire

HEXO Corp aligns its operations with its 2020 expectations, reduces price structure

GATINEAU, Quebec, Oct. 24, 2019 (GLOBE NEWSWIRE) — HEXO Corp (“HEXO” or the “Company”) (TSX:HEXO NYSE:HEXO) announced now it has taken measures to lessen its workforce. The Firm is rightsizing its operations to adjust to a altering market place and regulatory atmosphere with a view towards profitability and extended-term stability.

This has been my hardest day at HEXO Corp. When it is exceptionally tough to say goodbye to trusted colleagues, I am confident that we have created sound choices to guarantee the extended-term viability of HEXO Corp. The actions taken this week are about rightsizing the organization to the income we count on to realize in 2020.

Sebastien St-Louis, CEO

As noted in an earlier press release to give preliminary fourth quarter 2019 income final results, slower than anticipated shop rollouts, a delay in government approval for cannabis derivative items and early indicators of pricing stress are becoming felt nationally. The delay in retail shop openings in our important markets has meant that the access to a majority of the target consumers has been restricted. Moreover, regulatory uncertainty across the pan-Canadian program and jurisdictional choices to limit the availability and sorts of cannabis derivative items have contributed to an elevated level of unpredictability.

As portion of the modifications to its operations, the Firm has eliminated roughly 200 positions across its departments and places. The cuts contain the elimination of some executive positions and the departures of Arno Groll, Chief Manufacturing Officer and Nick Davies, Chief Advertising and marketing Officer.

The Firm plans to release its comprehensive monetary final results for the year ended July 31, 2019 on October 28, 2019, and hold its earnings get in touch with at eight:30 a.m. EDT on Tuesday, October 29, 2019.

About HEXO Corp

HEXO Corp is an award-winning customer packaged goods cannabis corporation that creates and distributes revolutionary items to serve the international cannabis market place. By means of its hub and spoke small business tactic, HEXO Corp is partnering with Fortune 500 providers, bringing its brand worth, cannabinoid isolation technologies, licensed infrastructure and regulatory knowledge to established providers, leveraging their distribution networks and capacity. As a single of the biggest licensed cannabis providers in Canada, HEXO Corp operates with two.four million sq. ft of facilities in Ontario and Quebec. The Firm is also expanding internationally and has a foothold in Greece to establish a Eurozone processing, production and distribution centre. The Firm serves the Canadian adult-use markets beneath its HEXO Cannabis and Up Cannabis brands, and the health-related market place beneath HEXO health-related cannabis. For extra information and facts please pay a visit to hexocorp.com.

Original press release

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Published by NCV Newswire

NCV Newswire
The NCV Newswire by New Cannabis Ventures aims to curate higher top quality content material and information and facts about major cannabis providers to assist our readers filter out the noise and to keep on best of the most crucial cannabis small business news. The NCV Newswire is hand-curated by an editor and not automated in anyway. Have a confidential news tip? Get in touch.

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