MedMen Files for Bankruptcy, Citing Financial Difficulties
MedMen Enterprises Inc., once hailed as the "Apple store of weed" and the first cannabis unicorn, has filed for bankruptcy. The company cited financial difficulties and an inability to pay its debts as the reasons for the closure.
The announcement came late Friday from Amit Pandey, MedMen's former chief financial officer. In a press release, MedMen stated that the decision to shut down operations and commence bankruptcy proceedings was made after careful consideration of the company's financial condition and its inability to meet its financial obligations.
MedMen's downfall began several years ago with troubling financial reports, followed by retail store closures, layoffs, lawsuits, and internal conflicts. Despite early success, including opening one of California's first recreational cannabis stores in 2018, the company faced numerous challenges, including legal battles, failed acquisitions, high losses, and stiff competition from both legal and illicit cannabis markets.
Pandey and the company's directors resigned prior to the commencement of the bankruptcy proceedings. More information regarding the bankruptcy proceedings can be obtained from the bankruptcy trustee's website.