Bluma Wellness Inc. (the “Company” or “Bluma Wellness”) (CSE: BWEL.U) (OTCQX:BMWLF) announces that its wholly-owned, indirect operating subsidiary, 3 Boys Farm, LLC (d/b/a One Plant Florida) (“One Plant Florida”), has agreed to borrow the principal amount of US$7,500,000 (the “Loan”) from a subsidiary of Cresco Labs Inc. (CSE:CL) (OTCQX:CRLBF) (“Cresco”). The proceeds of the Loan are expected to be used for capital expenditures associated with the expansion of One Plant’s operations in the State of Florida and to satisfy tax liabilities relating to the settlement of vested restricted share units (each an “RSU”).
The unpaid principal amount of the Loan, together with all accrued and unpaid interest, will be due and payable, in cash, on the earlier of (i) the termination or expiration of the arrangement agreement between Cresco and the Company dated January 13, 2021; and (ii) December 31, 2021, unless declared due and payable prior to maturity as a result of an event of default. The Loan may be prepaid in whole or in part at any time, without premium or penalty.
About Bluma Wellness Inc.
Bluma Wellness Inc. owns and operates a vertically-integrated, licensed medical cannabis company in the State of Florida doing business as “One Plant Florida.” One Plant Florida cultivates, processes, dispenses and retails medical cannabis to qualified patients in the State of Florida through multiple retail dispensaries and an innovative next-day door-to-door e-commerce home delivery service, thereby offering convenient access for its customers and meeting the demands of an evolving retail landscape. Bluma Wellness plans to continue expanding its cultivation and distribution operations as the Florida market grows.