Ascend Wellness Holdings Announces US$210 Million Senior Debt Financing

CANNANNEW REPORT

Ascend Wellness Holdings, Inc. (“AWH” or the “Company”) (CSE: AAWH.U) (OTCQX: AAWH), a leading multi-state, vertically integrated cannabis operator, today announced it has closed on a US$210 million Senior Secured Term Loan (the “Term Loan”) with Seaport Global Securities LLC as lead manager. AWH intends to use the proceeds to (i) repay substantially all of the Company’s debt excluding approximately US$12 million of outstanding acquisition payments with near zero interest rates, (ii) finance the Company’s pending investment in MedMen NY, Inc. and (iii) support the Company’s future growth and acquisition initiatives. This Term Loan further strengthens the company’s strong cash position. Prior to closing the Term Loan, at the end of Q2 2021, ending June 30, 2021, the Company had $104.2 million in cash and equivalents. “I am thrilled to secure this non-dilutive financing which both reduces our overall cost of capital and will fuel the growth of our business as we invest in scaling our strategic footprint. We saw tremendous interest and had healthy participation in the Term Loan. Our marketing process, lead-managed by Seaport Global Securities, introduced us to a very high-quality mix of institutional investors, family offices and hedge funds. We are excited to include this new class of stakeholders into our capital structure via the senior debt financing and look forward to the opportunity to expand our relationship with many of these investors over time in future debt and equity financings.” said Abner Kurtin, Founder and CEO of AWH. “We are actively building one of the most robust networks of retail stores and cultivation facilities in the highest quality markets. With our strong balance sheet and successful track record, we are well positioned to implement our growth strategies to take advantage of the significant market opportunity ahead and drive strong value for our shareholders.” The Term Loan will bear interest of 9.5% per annum, payable quarterly…

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Source : Ascend Wellness Holdings Announces US0 Million Senior Debt Financing

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