Curaleaf Holdings, Inc. announces new $275 Million loan at 13.0%

Shares :

5
(3)

NEWS PROVIDED BY Curaleaf Holdings, Inc

New Financing Has No Equity Component

WAKEFIELD, Mass., Dec. 20, 2019 /PRNewswire/ — Curaleaf Holdings, Inc. (CSE: CURA) (OTCQX: CURLF) (“Curaleaf” or the “Company”), a leading vertically integrated cannabis operator in the United States, today announced that the Company has received commitments from a syndicate of lenders for a US$275 million Senior Secured Term Loan Facility (the “Facility”) bearing interest at a rate of 13.0% per annum, payable quarterly in arrears, with a maturity 48 months from closing. 

Curaleaf has received commitments for the Facility from existing lenders as well as other United States based institutional investors. This transaction constitutes a broadly syndicated institutional deal led by sophisticated and long-term investors that have confidence in the cannabis industry and the Curaleaf team in particular. The proceeds will be used to refinance existing debt, satisfy transaction fees and expenses from previously announced acquisitions, fund capital expenditures and for general corporate purposes. The sole placement agent for the Facility is Seaport Global Securities LLC. 

“This transaction is a historic milestone for Curaleaf. Our track record of continuously improving results has attracted a strong group of institutional investors who share our belief that we have established a leading credit profile in the cannabis industry,”

said Joseph Lusardi, Chief Executive Officer of Curaleaf.

“Importantly, we have raised debt capital at attractive terms without the need to dilute our shareholders. We believe this additional capital fortifies Curaleaf’s balance sheet to take advantage of the significant market opportunities that exist in this space.” 

Neil Davidson, Chief Financial Officer of Curaleaf continued,

“As our business continues to scale and generate positive free cash flow, this additional capital puts us in a position of strength and provides us with ample liquidity to execute on our strategy. Further, we believe our pending acquisitions, most notably Select and Grassroots will benefit from our expanded balance sheet, both of which are expected to close early next year.” 

The Facility is subject to completion of customary closing conditions, with expected completion of conditions precedent and drawdown on or about January 10, 2020.

About Curaleaf Holdings 

Curaleaf Holdings, Inc. (CSE: CURA) (OTCQX: CURLF) (“Curaleaf”) is the leading vertically integrated multi-state cannabis operator in the United States. It is a high-growth cannabis company with a national brand known for quality, trust and reliability. The company is positioned in highly populated, limited license states, and currently operates in 12 states with 51 dispensaries, 14 cultivation sites and 13 processing sites. Curaleaf has the executive expertise and research and development capabilities to provide leading service, selection, and accessibility across the medical and adult-use markets, as well as in the CBD category through its Curaleaf Hemp brand.


This article is written and published by The Cannabis Stock


Disclaimer : The Cannabis Stock wants to promote the cannabis market with the best articles and news on the market. The Cannabis Stock does not recommend selling or buying any of the company mentioned and is not responsible for any losses that may result.

The Cannabis Stock and its employees may from time to time own shares of the companies named in the articles. All the facts reported by the cannabis stock are information that comes directly from the companies, from their website or on Sedar and are only published as information.


Click on a star to rate this article !

Average rating 5 / 5. Vote count: 3

No votes so far! Be the first to rate this post.


Shares :