On July 30, 2025, Ayr Wellness, a leading vertically integrated U.S. cannabis company, announced it had entered into a Restructuring Support Agreement (RSA) with a committee of its senior noteholders. This agreement outlines a clear path for Ayr Wellness to continue operations while transitioning to new ownership and significantly reducing its debt obligations.
The company’s Interim CEO, Scott Davido, emphasized the importance of the deal in a press release: “Today marks a major milestone for Ayr Wellness and the restructuring of its obligations, having agreed to a pathway to reduce its debt and seek to maximize value for all stakeholders.”
As part of the RSA, Ayr Wellness will support an Article 9 Uniform Commercial Code (UCC) sale process. The company’s senior noteholders have agreed to acquire Ayr’s key operational assets across Florida, Ohio, Nevada, New Jersey, Pennsylvania, and Virginia, along with the assumption of certain liabilities. This move allows Ayr Wellness to continue operating under new ownership while aiming to maintain value across its most significant markets.
In addition to the asset sales, the restructuring includes a Bridge Facility—a senior secured, multiple-draw term loan provided by the committee of noteholders. This facility offers up to $50 million in funding at an annual interest rate of 14%. These funds will support ongoing operations, facilitate the Article 9 sale, and complete related transactions.
Once the Article 9 sale is finalized, Ayr Wellness will begin a court-supervised liquidation process in British Columbia under the Companies’ Creditors Arrangement Act (CCAA). The company’s U.S. subsidiaries will wind down operations, and proceeds from the liquidation of remaining assets will be distributed to creditors.
This major step comes at a crucial time for Ayr Wellness, which operates over 90 dispensary locations and owns well-known cannabis brands including Kynd, HAZE, Later Days, and Levia. While the company continues to face financial challenges, the restructuring process provides a potential path to stabilize its core operations and meet its obligations to stakeholders.
In summary, the RSA marks a turning point for Ayr Wellness, as the company navigates a complex but structured path forward. By transitioning ownership and restructuring its debt, Ayr Wellness aims to preserve value, protect jobs in key markets, and potentially reposition itself for long-term sustainability in the competitive U.S. cannabis industry.
by Cannabis Science and Technology
