Photo by Michel Grolet on Unsplash
Montreal: Canada's largest comedy festival, Just for Laughs, announced Tuesday it is seeking creditor protection and cancelling this year's upcoming stand-up shows after some four decades in the business.
Its board said in a statement it is facing a dire financial situation after effectively ceasing operations for two years during the Covid-19 pandemic, and soaring costs since then that have "placed unprecedented financial pressures on the organization."
It said also that television productions of comedy shows have become "more difficult" amid industry consolidation and shrinking network budgets.
"After considering all possibilities, the JFL board of directors came to the conclusion that the financial situation of the organization left no choice but to begin restructuring procedures," it said.
JFL added it will be seeking new investors or a buyer "for all or part of its activities" in a bid to maximize value for shareholders and "where possible, preserving business continuity."
During the restructuring, JFL vowed to continue operating "in a reduced form," including not holding the upcoming 2024 edition of its festival, "at least not on the same date and in the same format as in previous years."
It said it is hoping to bring back the festival in the summer of 2025. Established in Montreal in 1983, the festival describes itself as "a world leader in the comedy industry."
