Despite many Zenabis Global (TSX: ZENA) shareholders believing otherwise, it appears that the purchase of certain debt by Sundial Growers (NASDAQ: SNDL) is not as positive as it seemed. Sundial this morning indicated that it has already issued a notice of default to Zenabis in relation to certain terms contained within the senior loan that were not being met.
Specifics were not provided within the news release in relation to what aspects of the loan were in violation, but it has been indicated that Zenabis is disputing the claim. It also indicated that Zenabis paid the required $7.0 million lump sum payment on December 31, 2020, which was known as a result of a Zenabis news release issued earlier this week.
The company was vague on details however, with no further information being provided.
Sundial Growers last traded at $0.54 on the Nasdaq.
Information for this briefing was found via Sedar and Sundial Growers. 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.
