Canadian Cannabis Retail Giant High Tide Announces Closing Of $10.8M In Subordinated Debt Facility
Canadian Cannabis Retail Giant High Tide Announces Closing Of $10.8M In Subordinated Debt Facility
High Tide Inc. (NASDAQ:HITI) (TSXV:HITI) (FSE: 2LYA) announced the initial closing of its previously disclosed subordinated debt facility of $1,000 principal subordinate secured debentures of the company for aggregate gross proceeds of CA$15 million ($10.8 million) for CA$900 per debenture, under subscription agreements with arm's length institutional credit providers.
High Tide Inc. (纳斯达克：HITI) (tsxv：HITI) (FSE：2LYA) 宣布初步收购公司的1,000加元资本下置抵押债券，每张债券定价900加元，与独立的信贷提供商订立认购协议，总计募得1,500万加元(1080万美元)
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The Canadian cannabis retail giant said the debentures will mature on July 31, 2029, and bear interest at a fixed rate of 12% annually on drawn amounts, payable quarterly.
该加拿大大麻销售巨头表示，债券将于2029年7月31日到期，按固定利率12%的被动金额计息，每季度支付息款。
Under the subscription agreements, the debentures will be drawn in two tranches, including the CA$10 million principal amount drawn on the initial closing and CA$5 million in November 2024. The final tranche, until drawn, will be subject to a 1% per annum standby fee.
根据认购协议，债券将分两个阶段发行，包括于初步收购时发行的1,000万加元本金和2024年11月发行的500万加元本金。最终阶段在发行前将每年收取1%的备用费用。
The debentures are governed by the terms and conditions of a debenture trust indenture between High Tide and Olympia Trust company in its capacity as trustee and collateral agent. In addition, the company may redeem the debentures at any time before maturity, in whole or in part, upon sixty days' notice and payment of certain penalties as applicable.
这些债券受到High Tide与Olympia Trust公司签订的债券信托契约的条款和条件的约束，后者作为受托人和抵押品代理人。此外，公司可以在到期前任何时间全部或部分赎回债券，在支付适用的一定罚款后缴回。
In connection with the closing of the initial tranche, the company issued an aggregate of 230,760 common shares at a price of CA$ 3.47 per common share to the lenders.
与初步阶段的收购相结合，该公司以3.47加元/股的价格向贷方发行了230,760股普通股。
Ventum Capital Markets is acting as financial advisor to the corporation in connection with arranging the facility, the company said in a press release.
Ventum资本市场担任公司的财务顾问，协助安排这项融资。
Read Also: High Tide To Buy 'Highly Accretive' Cannabis Store For $438K
阅读还要：High Tide以438,000美元的价格收购“高增长”大麻店
Why It Matters
这为以下原因非常重要
The net proceeds of the facility will be used for debt repayment, ongoing development of the company's business model and general working capital purposes.
该融资的净收益将用于偿还债务、公司业务模式的持续发展以及一般性工作资金用途。
"I believe we have found the sweet spot with this financing, which demonstrates how we prudently manage our balance sheet," Raj Grover, founder and CEO of High Tide, said in June when the company first announced a debt financing deal. "We have secured a commitment for $15 million in debt, of which $5 million will not be drawn for several months. By structuring the financing this way, we have secured the additional funds, but avoid paying interest on the remaining $5 million until drawn, as we don't require the funds imminently given our strategic growth plans and strong free cash flow profile," Grover added.
“我相信我们在这次融资中找到了一个好机会，这说明了我们如何谨慎地管理我们的资产负债表。在这次融资中，我们获得了1,500万美元的承诺，其中5,000,000美元将会在未来几个月内到手。通过这种方式来构建融资，我们获得了额外的资金，但在未到手这部分资金之前，我们避免了对剩余500万美元支付利息，因为我们不需要这笔资金，考虑到我们的战略增长计划和强大的自由现金流概况，”High Tide创始人兼首席执行官Raj Grover在六月份公司首次宣布融资交易时表示。
HITI Price Action
HITI股价行情
High Tide's shares traded 4.62% lower at $1.65 per share during the pre-market session on Monday morning.
周一早盘，High Tide股票在非正式交易中下跌了4.62%，每股1.65美元。
- High Tide Reports $34.5M Cash Position, Sells 1,400 Shares In Q2, Expands Cannabis Footprint
- 高潮报告现金头寸为3450万美元，在第二季度售出1400股，扩大大麻股份。