- Green Thumb Industries (GTII) has closed on a US $217 million senior non-brokered private placement financing
- Proceeds will be used to retire its existing US $105 million senior secured debt and for general working capital purposes
- The notes have a maturity date of April 30, 2024, and will bear an interest rate of 7 per cent per annum
- The purchasers of the notes also received an aggregate of 1,459,043 warrants, exercisable for one subordinate voting share at US $32.68 per share
- Company insiders purchased approximately US $3 million of notes
- Green Thumb Industries is a cannabis consumer packaged goods company headquartered in Chicago, Illinois
- Green Thumb Industries (GTII) opened trading at C$36.60 per share
Green Thumb Industries (GTII) has closed on a US $217 million senior non-brokered private placement financing.
Proceeds will be used to retire its existing US $105 million senior secured debt due May 2023 and for general working capital purposes and various growth initiatives.
“History has taught us that the winners in new industries are those with the lowest cost of capital and the strongest balance sheets,” said GTI Founder and CEO Ben Kovler.
“Our successful non-brokered offering (gross=net) was supported by members of the management team in addition to a diverse group of new and existing high-quality, institutional investors who share in our strategic vision and plan to capitalize on the opportunities ahead. This financing represents industry-leading cost of capital in the legal cannabis industry and strengthens our balance sheet. This new capital will allow us to focus on shareholder value creation through strategic investments to scale our existing operations in addition to accretive M&A opportunities.”
The notes have a maturity date of April 30, 2024, and will bear an interest rate of 7 per cent per annum, payable quarterly, with an option to extend an additional 12 months.
The financing permits the company to borrow an additional US$33 million over the next twelve months.
The purchasers of the notes also received an aggregate of 1,459,043 warrants. Each warrant is exercisable for one subordinate voting share of GTI at an exercise price of US $32.68 per share, for a period of 60 months from the date of issue.
Green Thumb Industries is a cannabis consumer packaged goods company headquartered in Chicago, Illinois. The company has 13 manufacturing facilities, licenses for 97 retail locations and operations across 12 U.S. markets.
Green Thumb Industries (GTII) opened trading at C$36.60 per share.