SRx Health Solutions Obtains Initial Order under CCAA for its Canadian Subsidiary
SRx Health Solutions (NYSE American: SRXH) announced that its Canadian subsidiary, SRx Canada, has obtained an Initial Order under the Companies' Creditors Arrangement Act (CCAA) from the Ontario Superior Court of Justice. The court granted several key provisions including:
The company secured debtor-in-possession (DIP) financing of up to $1.75 million to support working capital needs and continued operations. A court-appointed monitor, Grant Thornton Limited, will oversee the proceedings and manage a sale process for SRx Canada's assets. The parent company and its U.S. subsidiary are not included in any bankruptcy proceedings.
SRx Health Solutions (NYSE American: SRXH) ha comunicato che la sua controllata canadese, SRx Canada, ha ottenuto un'ordinanza iniziale ai sensi del Companies' Creditors Arrangement Act (CCAA) dalla Corte Superiore di Giustizia dell'Ontario. Il tribunale ha concesso diverse disposizioni chiave, tra cui:
La società ha ottenuto un finanziamento debtor-in-possession (DIP) fino a 1,75 milioni di dollari per coprire le esigenze di capitale circolante e continuare le operazioni. Un monitor nominato dal tribunale, Grant Thornton Limited, superviserà le procedure e gestirà il processo di vendita degli asset di SRx Canada. La società madre e la sua controllata statunitense non sono coinvolte in alcuna procedura fallimentare.
SRx Health Solutions (NYSE American: SRXH) anunció que su filial canadiense, SRx Canada, obtuvo una orden inicial en virtud del Companies' Creditors Arrangement Act (CCAA) del Tribunal Superior de Justicia de Ontario. El tribunal concedió varias disposiciones clave, entre ellas:
La compañía aseguró un financiamiento debtor-in-possession (DIP) de hasta 1,75 millones de dólares para atender las necesidades de capital de trabajo y mantener las operaciones. Un monitor designado por el tribunal, Grant Thornton Limited, supervisará el procedimiento y gestionará la venta de los activos de SRx Canada. La matriz y su filial estadounidense no forman parte de ningún procedimiento concursal.
SRx Health Solutions (NYSE American: SRXH)는 캐나다 자회사 SRx Canada가 온타리오 고등법원(Superior Court of Justice of Ontario)으로부터 Companies' Creditors Arrangement Act (CCAA)에 따른 초기 명령(Initial Order)을 획득했다고 발표했습니다. 법원은 다음과 같은 주요 조항들을 승인했습니다:
회사는 운영 자금 수요와 계속되는 영업을 지원하기 위해 DIP(채무자 보유 상태 자금조달, debtor-in-possession)로 최대 175만 달러의 자금을 확보했습니다. 법원이 임명한 모니터인 Grant Thornton Limited가 절차를 감독하고 SRx Canada의 자산 매각 절차를 관리합니다. 모회사와 미국 자회사는 어떤 파산 절차에도 포함되지 않습니다.
SRx Health Solutions (NYSE American: SRXH) a annoncé que sa filiale canadienne, SRx Canada, a obtenu une ordonnance initiale en vertu du Companies' Creditors Arrangement Act (CCAA) de la Cour supérieure de justice de l'Ontario. Le tribunal a accordé plusieurs mesures clés, notamment :
La société a obtenu un financement debtor-in-possession (DIP) pouvant atteindre 1,75 million de dollars pour soutenir ses besoins en fonds de roulement et poursuivre ses activités. Un surveillant nommé par le tribunal, Grant Thornton Limited, supervisera la procédure et gérera le processus de vente des actifs de SRx Canada. La société mère et sa filiale américaine ne sont pas concernées par ces procédures de faillite.
SRx Health Solutions (NYSE American: SRXH) gab bekannt, dass seine kanadische Tochtergesellschaft SRx Canada eine Initial Order nach dem Companies' Creditors Arrangement Act (CCAA) vom Superior Court of Justice in Ontario erhalten hat. Das Gericht erließ mehrere wesentliche Bestimmungen, darunter:
Das Unternehmen sicherte sich eine Debtor-in-Possession-(DIP)-Finanzierung von bis zu 1,75 Millionen US-Dollar, um den Bedarf an Betriebskapital zu decken und den Geschäftsbetrieb fortzuführen. Ein vom Gericht bestellter Monitor, Grant Thornton Limited, wird das Verfahren überwachen und den Verkaufsprozess für die Vermögenswerte von SRx Canada leiten. Die Muttergesellschaft und ihre US-Tochter sind nicht in Insolvenzverfahren einbezogen.
- DIP financing of $1.75 million secured to maintain operations
- Court-approved restructuring process provides stability and time for strategic alternatives
- U.S. parent company and subsidiary remain unaffected by the proceedings
- Canadian subsidiary entering bankruptcy protection under CCAA
- Potential sale of all or substantial assets of Canadian operations
- DIP financing includes insider participation, indicating potential conflicts of interest
Insights
SRx Health's Canadian subsidiary enters bankruptcy protection with $1.75M DIP financing while parent company remains unaffected.
SRx Health Solutions has placed its Canadian subsidiary into the Companies' Creditors Arrangement Act (CCAA) process - Canada's equivalent to Chapter 11 bankruptcy protection. The Ontario Superior Court granted an initial order providing several key protections: a stay of proceedings against creditors, appointment of Grant Thornton as monitor, and approval of
The DIP financing package notably includes participation from company insiders, suggesting continued confidence from those with intimate knowledge of the business. This
Importantly, neither the parent company (SRx Health Solutions) nor its U.S. subsidiary (Halo, Purely For Pets) are included in this filing. This structured approach allows the company to isolate financial distress to the Canadian operations while preserving value in its other business units. The court-supervised sale process provides an orderly framework to maximize recovery while the business continues operating.
The company's strategic use of CCAA rather than immediate liquidation suggests the Canadian subsidiary retains operational value worth preserving through restructuring. This controlled approach typically yields better outcomes than disorderly closure, though the need for insider participation in the DIP financing may indicate limited external funding options.
TAMPA, Fla., Aug. 12, 2025 (GLOBE NEWSWIRE) -- SRx Health Solutions, Inc. (NYSE American: SRXH) (the “Company”), a leading global health and wellness company, today announced that its subsidiary, SRx Health Solutions (Canada), Inc.(“SRx Canada”) and certain of its subsidiaries obtained an Initial Order (the “Initial Order”) in Canada under the federal Companies’ Creditors Arrangement Act (the “CCAA” and SRx Canada’s proceedings thereunder, the “CCAA Proceedings”) from the Ontario Superior Court of Justice (Commercial List) (the “Court”).
In connection with the Initial Order, the Court granted, among other relief:
- a stay of proceedings in favor of SRx Canada
- the appointment of Grant Thornton Limited as the monitor of SRx Canada (in such capacity, the “Monitor”)
- debtor-in-possession financing (“DIP Financing”)
- a sale process (“Sale Process”)
SRx Canada has secured DIP Financing (which includes insider participation). The Dip Financing consists of a credit facility of up to a maximum of
Pursuant to the Initial Order, the Monitor is maintaining a case website at the following URL: https://www.doanegrantthornton.ca/Srx. All materials filed and orders granted in the CCAA Proceedings will be uploaded to the case website.
Neither the Company nor the Company’s United States subsidiary, Halo, Purely For Pets, Inc., a Delaware corporation, has made any filing under any bankruptcy code or statutory reorganization scheme either in the United States or in Canada.
About SRx Health Solutions, Inc.
SRx Health Solutions Inc. is an integrated Canadian healthcare services provider that operates within the specialty healthcare industry. The SRx network extends across all ten Canadian provinces, making it one of the most accessible providers of comprehensive, integrated, and customized specialty healthcare services in the country. SRx combines years of industry knowledge, technology, and patient-centric focus to create strategies and solutions that consistently exceed client expectations and drive critical patient care initiatives aimed to improve the wellness of Canadians. For more information on SRx Health Solutions Inc., please visit www.srxhealth.com.
Forward-Looking Statements
This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. The words “believe,” “may,” “estimate,” “continue,” “anticipate,” “intend,” “should,” “plan,” “could,” “target,” “potential,” “is likely,” “will,” “expect” and similar expressions, as they relate to us, are intended to identify forward-looking statements. The Company has based these forward-looking statements largely on our current expectations and projections about future events and financial trends that we believe may affect our financial condition, results of operations, business strategy and financial needs. Some or all of the results anticipated by these forward-looking statements may not be achieved. Further information on the Company’s risk factors is contained in our filings with the SEC. Any forward-looking statement made by us herein speaks only as of the date on which it is made. Factors or events that could cause our actual results to differ may emerge from time to time, and it is not possible for us to predict all of them. The Company undertakes no obligation to publicly update any forward-looking statement, whether as a result of new information, future developments or otherwise, except as may be required by law.
Company Contact:
SRx Health Solutions, Inc.
Kent Cunningham, Chief Executive Officer
Investor Contact:
KCSA Strategic Communications
Valter Pinto, Managing Director
T: 212-896-1254
Valter@KCSA.com
FAQ
What is happening to SRx Health Solutions' Canadian subsidiary?
How does the CCAA filing affect SRXH's U.S. operations?
What is the DIP financing amount for SRx Canada's CCAA proceedings?
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What are the next steps for SRx Canada under CCAA protection?
