Benzinga | Jul 16, 2020 04:48PM EDT

DAVIDsTEA Obtains Amended And Restated Court Order Under CCAA

MONTREAL, July 16, 2020 (GLOBE NEWSWIRE) -- DAVIDsTEA Inc. (NASDAQ:DTEA) ("DAVIDsTEA" or the "Company"), a leading tea merchant in North America, announces that the Qu?bec Superior Court today issued an Amended and Restated Initial Order extending to September 17, 2020 the application of the Initial Order obtained by DAVIDsTEA on July 8, 2020 under the Companies' Creditors Arrangement Act (Canada) ("CCAA"). The Amended and Restated Initial Order also deals with certain administrative matters. The Amended and Restated Initial Order and related documents will be available at www.pwc.com/ca/davidstea.

At the request of Nasdaq, DAVIDsTEA also confirms that it will not issue any new shares or create any new classes of stock in its restructuring under the CCAA and that the restructuring will not have an impact on DAVIDsTEA's share structure.

As previously announced, DAVIDsTEA's restructuring efforts under the CCAA are focused primarily on exiting unprofitable stores and right-sizing its Canadian brick and mortar footprint in the context of an increasingly challenging retail environment, further exacerbated by the COVID-19 pandemic. DAVIDsTEA's objective is to create a leaner and more efficient company and to accelerate its transition to an online retailer and wholesaler of high-quality tea and accessories, better positioned for long-term growth.

The Company will continue to provide updates throughout the restructuring process as events warrant.