DAVIDsTEA to close a number of stores as sales slip amid COVID-19 pandemic

More sales 'brewing' online

DAVIDsTEA, with a location at Georgian Mall in Barrie, has announced it will be significantly reducing its number of stores and shifting to online selling.

The Montreal-based chain, with locations across Canada and the U.S., is restructuring under the Companies’ Creditors Arrangement Act of Canada. It plans to take similar steps toward bankruptcy protection for its U.S. business.

It is not clear which stores will be closed.

“We will assess a number of factors, including whether we can reach agreements with landlords on more favourable lease conditions and, ultimately, may terminate a significant number of our 222 leases as we seek to right-size our retail footprint,” the company said.

Amid COVID-19, the company says a good number of its customers have started buying their tea products online; the company sees that distribution method as its future.

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