Jushi Holdings Sees Sundial Growers Joint Venture Provide US$100 Million Credit Facility

Jushi Holdings (CSE: JUSH) is the latest multi state cannabis operator to get further funding this week. The company this morning reported that it has entered into a definitive arrangement for a US$100 million senior secured credit facility.

The facility itself comes from SunStream Bancorp, which is a joint venture that is sponsored by Sundial Growers (NASDAQ: SNDL), presumably as a means for the company to gain exposure to the US cannabis space. The facility is referred to as an “acquisition facility,” meaning it is to be used to acquire further operators in the US.

The facility currently bears interest at a rate of 9.5% per annum, payable quarterly, with the first two years said to contain interest-only payments. The debt matures five years from closing date, with the company able to make drawdowns on the facility for the first eighteen months. Lastly, the total size of the credit facility is eligible to be increased by US$25 million based upon certain undisclosed conditions.

To date, Jushi has reportedly drawn down $40 million, which is being used to satisfy the cash portion of its recent acquisition of Nature’s Remedy of Massachusetts. The remaining funds, if used, are to be used for “strategic expansion opportunities” in both core and developing markets that the company operates within.

The investment is believed to be one of the first made under the Sunstream Bancorp banner by Sundial Growers.

Jushi Holdings last traded at $4.84 on the CSE.


Information for this briefing was found via Sedar and the companies mentioned. The author has no securities or affiliations related to this organization. Not a recommendation to buy or sell. Always do additional research and consult a professional before purchasing a security. The author holds no licenses.

Video Articles

Goliath Resources Hits 10.60 g/t Gold Over 22.82 Metres, Highest Grade Results In Third Distinct Rock Package At Surebet Discovery

Four Countries Control the Fertilizer That Feeds the World | Sage Potash

$10,000 Gold Is Just A Question of Time | Florian Grummes

Recommended

ESGold Outlines $24.3 Million NPV For Tailings Reprocessing Project

First Majestic Encounters 711 g/t Silver Equivalent Over 8.0 Metres In Ongoing Exploration At Los Gatos

Related News

Jushi Sees Canaccord Reiterate US$10 Price Target After Management Change-up

On June 30th, Jushi Holdings Inc. (CSE: JUSH) announced management and board of director changes....

Sunday, July 4, 2021, 01:09:00 PM

Sundial Manages To Restructure Outstanding Debt

Sundial Growers (NASDAQ: SNDL) has finally managed to complete the restructuring of its outstanding debt...

Monday, June 8, 2020, 08:36:06 AM

Jushi Holdings Raises $74.8 Million In Overnight Offering

Jushi Holdings (CSE: JUSH) has closed its previously announced overnight marketed public offering. The company...

Friday, February 12, 2021, 08:57:57 AM

Jushi Acquires Vireo’s Pennsylvania Cultivation Assets, Announces Secured Financing

It appears that Vireo Health (CSE: VREO) is in the process of selling off assets....

Monday, June 22, 2020, 09:12:04 AM

Sundial Growers Posts Fourth Quarter 2020 Revenues Of C$13.9 Million, Net Loss Of C$64.1 Million

Sundial Growers (NASDAQ: SNDL) this evening vaguely reported its fourth quarter financial results, reporting revenues...

Wednesday, March 17, 2021, 06:04:23 PM