Canadian cannabis producer Aleafia Health has it Launched a strategic review process To determine the company’s options as it modifies the terms of the loan from the NE SPC II lender.
According to a press release issued on Thursday, Al-Afia is currently in breach of the financial covenants of the loan.
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The loan was previously payable on demand, but NE SPC II has now agreed to “not perform the loan agreement” until May 31, or until Aleafia defaults, whichever comes first.
As the May 31 deadline approaches, Aleafia has launched a strategic review “with the goal of maximizing value for Aleafia Health shareholders and other stakeholders.”
Possibilities could include refinancing debt, selling all or some of Aleafia’s assets, finding a business combination, new financing, or a strategic investment.
loan. Signed December 2021, C$12M ($8.8M) with a C$7M revolving credit
Read the full article at Marijuana Business Daily
