It starts ! First of many insolvencies to follow.
Thoughtful Brands announced that its wholly-owned subsidiary Verrian Germany GmbH has sought creditor protection in Germany. Verrian lacks sufficient working capital to sustain current operations, and satisfy creditor demands, and as a result, is compelled to institute insolvency proceedings under applicable German insolvency law. Reports Proactive Investors
Verrian operates a pharmaceutical manufacturing facility in Radebeul, Germany, in which it is involved in clinical studies utilizing psychedelic compounds for the treatment of opiate addiction.
In connection with the filing for the opening of the insolvency proceedings, Thoughtful Brands said that Verrian has suspended all operations and is awaiting the appointment of a court-ordered (preliminary) administrator to oversee its affairs in the interest of the creditors and to decide the next course of action.
The decision for Verrian to file for insolvency was made after careful consideration, and Thoughtful Brands has decided to focus on its core business: direct to consumer eCommerce brands, eCommerce technology, and the vertical integration of its supply chain.
The company recently signed a definitive agreement to acquire Kentucky-based American CBD Extraction Corp, a leader in quality hemp cultivation. The acquisition would set the stage for Thoughtful Brands to become fully vertically integrated, controlling each aspect of the supply chain including production, logistics, and value chain.
Vancouver-based Thoughtful Brands said it will launch new superior quality CBD brands offering products made from hemp it extracts and produces as well as develop products formulated for future brand clients.