Chicago, March 19 – Cannabist Co. Holdings Inc. placed $25.75 million of 9% senior secured convertible debentures due 2027, according to a press release.
The private placement was partially brokered and non-brokered.
In connection with the offering, the company and the investors have entered into customary registration rights agreements.
ATB Securities Inc. acted as the sole bookrunner and agent for the brokered offering.
As part of the transaction, the company issued $6.25 million of notes in exchange for cancellation of $5 million of previously issued 6% convertible notes due 2025.
The company announced the offer initially with binding commitments for $17.5 million and a possible additional $2 million.
Proceeds will be used to repay debt, including the remaining $13.2 million of 13% senior secured notes due May 2024, for working capital and for general corporate purposes.
Based in New York, Cannabist is a cultivator, manufacturer and provider of medical and adult use cannabis products and related services with licenses in 18 U.S. jurisdictions and the European Union. The company was formerly known as Columbia Care Inc.
| Issuer: | Cannabist Co. Holdings Inc.
|
| Amount: | $25.75 million
|
| Issue: | Senior secured convertible debentures
|
| Maturity: | March 2027
|
| Bookrunner: | ATB Securities Inc.
|
| Coupon: | 9%
|
| Price: | 80
|
| Conversion premium: | 25%
|
| Conversion price: | $0.305 per share
|
| Conversion rate: | 3,278.6 shares
|
| Settlement date: | March 19
|
| Distribution: | Brokered, non-brokered
|
| Stock symbol: | CBOE CA: CBST
|
| Stock price: | C$0.33 on March 14
|
| Market capitalization: | $161.35 million
|
|
|
© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere.
For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.
