FAILDEX失樂園
中文

Entourage Health

The business, the turning points, and the decisions behind them.

Founded2017
Event year2026
FundingUS$156.2M

01 / WHAT IT BUILT

What the company did

Entourage Health Corp. was a Canadian producer and distributor of cannabis products. It began operating as WeedMD in April 2017 and acquired Starseed in December 2019; its adult-use brands included Color Cannabis, Dime Bag, and Saturday Cannabis, while medical cannabis was distributed under the Starseed brand, including to union members through benefit plans. It processed and distributed medical and adult-use cannabis from a 26,000-square-foot extraction and processing facility in Aylmer, Ontario.

02 / Entourage Health FAILURE REASONS

Failure factors

Persistent operating losses, weaker medical-sales growth and an unprofitable adult-use business exhausted funding support. The lender declined to finance further operating losses.

03 / EVENT HISTORY

Events in the structured record

  1. Asset restructuring

    Entourage entered court-supervised creditor protection in June 2026, with a wind-down and asset-sale process.

04 / CONTEMPORARY REBUILD ASSESSMENT

Difficulty of rebuilding this project today

Material for this section is being gathered and checked. It will appear here once ready.

Rebuild difficultyPending assessmentNot completed
Scoring basisNot completed
ScalabilityPending assessmentNot completed
Scoring basisNot completed

Overall assessment: Not completed

05 / CAUSAL CHAIN

How the factors connect

  1. 01

    In April 2025, Entourage was taken private by a numbered company affiliated with LiUNA and delisted from the Toronto Venture Exchange, after years of increasing debt and a failure to become profitable despite growing revenue.

  2. 02

    On June 8, 2026, the company laid off 53 employees without notice.

  3. 03

    On June 17, 2026, Entourage Health Corp. and six related companies obtained protection under the Companies' Creditors Arrangement Act (CCAA), on application by their primary secured lender, 2437653 Ontario Inc. (a LiUNA Pension Fund affiliate owed about $240.1 million), with Ernst & Young as monitor.

  4. 04

    The proceeding supports an orderly wind-down of the adult-use business while preserving the possibility of a going-concern sale of the medical cannabis business, which continues operating with 22 employees; the stay was extended to October 30, 2026.