- Canadian cannabis producer and distributor, Entourage Health Corp. (ENTG), has amended two senior secured credit facilities
- The BMO credit facility has been extended to June 30th, 2024, and the one with LiUNA Pension Fund of Central and Eastern Canada is until December 31st, 2024
- Entourage secured a deferral of certain pledges for both facilities until January 1st 2024
- The LFP facility has an interest rate of 15.25 per cent each year
- These facilities are secured by Entourage’s assets and its subsidiaries
- Entourage Health Corp. (ENTG) is unchanged trading at $0.05 per share as of 3:27 p.m. ET
Canadian cannabis producer and distributor, Entourage Health Corp. (ENTG), has amended two separate senior secured credit facilities.
The facilities are with the Bank of Montreal (BMO) and the LiUNA Pension Fund of Central and Eastern Canada (LFP).
Under the revised terms of the credit facilities, Entourage secured an extension of the maturity date to June 30, 2024, for its agreement with BMO. The credit facility with LFP has been extended to December 31, 2024.
“As part of our corporate transformation, we are continuing to finesse our business operations to produce premium products for added market share growth… provides all our stakeholders with confidence that we are moving tactically in the right direction to reach our profitability goals for long-term success,” George Scorsis, CEO and Executive Chairman of Entourage said.
The BMO senior credit facility amendment requires specific financial promises, including an EBITDA target covenant. On top of this, Entourage secured a deferral of certain financial agreements to January 1, 2024.
Regarding the second credit facility with LFP, the amendments agreed upon are identical to the ones with BMO. Entourage also secured a deferral of certain financial pledges to January 1, 2024. This facility has an interest rate of 15.25 per cent each year with an option to capitalize interest instead of cash payments of interest.
These facilities are secured by Entourage’s assets and its subsidiaries.
Entourage Health Corp. (ENTG) is unchanged trading at $0.05 per share as of 3:27 p.m. ET.