DivestmentJun 18, 2026, 08:02 AM
IM Cannabis to sell European ops, cut debt by CAD$10.5M
AI Summary
IM Cannabis Corp. has entered into a non-binding Letter of Intent to sell its European operations, held through I.M.C. Holdings Ltd., to Slil.com Holding Ltd., an entity controlled by its CEO. This transaction is expected to significantly reduce the company's debt by approximately CAD$10.5 million. The divestment aims to streamline operations, improve working capital and cash flow, and allow IMC to focus on its core Israeli business and pursue new investment opportunities. The transaction is a related party deal, with the company intending to use financial hardship exemptions from minority shareholder approval.
Key Highlights
- IM Cannabis to sell its European activities to Slil.com Holding Ltd.
- Transaction expected to reduce company debt by approximately CAD$10.5 million.
- Slil will assume C$7.5 million in retained liabilities and C$3.0 million in short-term liabilities.
- IM Cannabis will retain its core Israeli operations, focusing on that market.
- A Special Committee of independent directors will review the transaction.
- Beta Finance T.Y.S Ltd. will prepare a fairness report for the transaction.
- Company intends to rely on financial hardship exemptions for the related party deal.
Price Impact
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