Cannabis Company Ayr Wellness Announces Restructuring Support Agreement

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In a July 30, 2025, press release, vertically integrated US cannabis company Ayr Wellness Inc. announced it had entered into a Restructuring Support Agreement (RSA) with a committee of its senior noteholders (1). The RSA involves a plan to continue the company’s operations and transition of its business under its new ownership.

“Today marks a major milestone for AYR and the restructuring of its obligations, having agreed to a pathway to reduce its debt and seek to maximize value for all stakeholders,” stated Scott Davido, Interim Chief Executive Officer of AYR, in the press release. “We look forward to continuing to work closely with our lenders as we execute the next steps in our restructuring plan as defined by the RSA.”

As explained in the press release, Ayr Wellness will support an Article 9 Uniform Commercial Code sale process to the senior noteholders, who have agreed to purchase assets in Florida, Ohio, Nevada, New Jersey, Pennsylvania, and Virginia as assume certain liabilities. The remaining assets are anticipated to be evaluated for sale or wind-down.

Additionally, a Bridge Facility, a senior secured multiple draw term loan facility, will be provided by the committee in order to fund operations, conduct the Article 9 sale, and complete other transactions. The loan will be for up to $50 million at 14% interest per annum. Once the asset transactions are completed, the debt will be converted into “Take-Back Debt Facility.”

After the Article 9 sale ends, the company will pursue a court-supervised liquidation in British Columbia under the Companies’ Creditors Arrangement Act. The US subsidiaries will wind-down their operations in the various states. The liquidation proceeds from the remaining assets will be distributed among the creditors.

Ayr Wellness also operates more than 90 dispensary locations and includes the brands kynd, HAZE, Later Days, and Levia (2).

Reference

1. Ayr Wellness. AYR Wellness Enters Into Restructuring Support Agreement with Senior Noteholders https://www.globenewswire.com/news-release/2025/07/30/3124507/0/en/AYR-Wellness-Enters-Into-Restructuring-Support-Agreement-with-Senior-Noteholders.html (accessed August 5, 2025).
2. Ayr Wellness. Our Brands. https://ayrwellness.com/brands/ (accessed August 5, 2025).