DAVIDsTEA, the Montreal-based tea company, is planning to reopen 18 stores across Canada, seven of which are in Quebec. The stores will reopen under "more favourable lease terms," according to a press release.
DAVIDsTEA was forced to restructure its business, closed several retail stores, and focused on online service due to filing for protection under the Companies' Creditors Arrangement Act (CCAA) in early July.
DAVIDsTEA expects to reopen the 18 stores by the end of August 2020.
"Our decision to reopen these select stores is consistent with our objective to create a leaner, more efficient company, positioned for long-term growth," said Herschel Segal, Founder, Chairman and Interim CEO of DAVIDsTEA.
"We are very pleased that the landlords for these 18 stores have offered more advantageous rent conditions to us in light of the COVID-19 pandemic," added Frank Zitella, CFO and COO of DAVIDsTEA.
In the next 30 days, the company will close another 82 retail locations.