SNDL Inc (NASDAQ: SNDL) is in the process of restructuring its operations, announcing this morning that it will be reducing its staff by 106 full-time roles in an effort to cut costs. The cuts are said to both reduce corporate overhead and improve efficiency of its organizational structure.
The job cuts and restructuring efforts are expected to result in annualized savings of over $20 million, which will largely be the result of “optimized corporate overhead spending.” The restructuring however is expected to come at a one-time cost of $11 million.
Savings are expected to be realized by mid-2025, with changes beginning to be implemented under the plan as early as the third quarter of 2024.
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As part of the process, SNDL is said to be consolidating its cannabis operations into a single unit which will be led by Tyler Robson, the former CEO of The Valens Company prior to its acquisition by SNDL last year.
In a related development, Nova Cannabis (TSX: NOVC), which SNDL holds a 63% interest in, this morning indicated that CEO Marcie Kiziak will be departing the company as of August 1. Nova’s COO, Grand Sanderson, will take on the role on an interim basis following her departure. The organizational changes here are said to be in connection with SNDL’s restructuring efforts.
SNDL last traded at $2.20 on the Nasdaq.
Information for this story was found via Sedar and the companies mentioned. The author has no securities or affiliations related to the organizations discussed. Not a recommendation to buy or sell. Always do additional research and consult a professional before purchasing a security. The author holds no licenses.
