Tilray Brands Announces Strategy to Strengthen Canadian Cannabis Operations and Drive Profitable Growth

Irwin D. Simon, Chairman and Chief Executive Officer of Tilray Brands

“We have built one of the largest and most sophisticated cannabis operating platforms in Canada. Now, our focus is on unlocking its full value. These actions reflect our commitment to operating with greater efficiency, financial discipline and a clear focus on profitability. By leveraging the scale and infrastructure we have already established, we expect to lower our cost structure, expand margins and generate stronger cash flow, while maintaining the capacity and quality to serve the growing demand in Canada and international markets. We are making deliberate decisions to strengthen our competitive position, maximize returns on our investments and deliver sustainable long-term value for our shareholders.”

Blair MacNeil, President of Tilray Canada

“We are taking decisive steps to build a more efficient, competitive and profitable Canadian cannabis business. Greater-than-expected yields at Masson, together with increased yields across the rest of our Canadian cultivation operations, give us greater flexibility to optimize production, reduce costs and invest behind the growth of our leading brands. This stronger operating platform positions us to respond to evolving consumer demand and capture growth opportunities in Canada and internationally where we expect to ship more than 8 metric tonnes of cannabis this fiscal year. The size of the Foss facility limited the number of strains we could efficiently manage. Transitioning cultivation to Masson gives us greater expected flexibility to expand our strain offerings and drive greater innovation across the Redecan portfolio.”

Blair MacNeil, President of Tilray Canada

“Redecan remains an important part of our brand portfolio, and we are focused on driving its continued growth while maintaining the product quality and reliable supply that our consumers, retailers and provincial partners expect. We have also offered affected Foss employees opportunities at other Tilray facilities. This transition strengthens our business for the long term while supporting our brands, our customers and our people.”