Supreme Cannabis Lays Off 15% of Workforce, Exits Certain International Markets

The Supreme Cannabis Company (TSX: FIRE) has laid off approximately 15% of its entire staff as the company looks to continue cost cutting measures it began early last month. The company at last count was believed to employ approximately 700 people.

The layoffs were alluded to the markets via Twitter earlier today, with founder and former executive of the company, John Fowler, commenting on Twitter that a number of employees had been laid off in the sector as of late. It’s believed that in total, approximately 100 people have been let go from the company as interim CEO Colin Moore looks to cut costs wherever possible while driving efficiencies in an attempt to support long term profitable growth.

The cuts themselves will impact corporate employees the most, where approximately 33% of the entire workforce has been let go as a result of the measures. The operational level has seen a staffing reduction of approximately 13% as well. Supreme as a result is reorganizing itself to a flatter corporate structure, wherein many processes are expected to be streamlined.

Additionally, Supreme Cannabis has also announced that it has exited its investment in Supreme Heights, which was the firms UK and European investment platform. It did so by exercising a retractable right to have its investment returned to the company. As a result Supreme remains exposed to international markets largely through its Lesotho investment.

Supreme Cannabis is expected to report its second quarter financial results after market close on Thursday, February 13, 2020. The company last traded at $0.44 on the TSX.

Information for this analysis was found via Sedar, The CSE and Supreme Cannabis. The author has no securities or affiliations related to this organization. Not a recommendation to buy or sell. Always do additional research and consult a professional before purchasing a security.