The Company and its Canadian and US subsidiaries entered into the Amendment in connection with the Company’s previously announced plan of arrangement with Vireo Growth Inc. (the “Arrangement”), with the execution and delivery of the Amendment being a required condition to the closing thereof.
Among other things, the Amendment provides the Lenders’ consent to the Arrangement in accordance with the terms of the Credit Agreement and allows FLUENT and its Canadian and US subsidiaries to draw an additional US$10.5 million on the date of the Amendment (the “Closing Date”) in the form of term loans (the “Additional Term Loans”), which term loans bear interest at a rate of (i) 12.00% per annum, payable in cash, and (ii) 1.00% per annum, payable in kind, in each case payable monthly on the applicable payment date. The Additional Term Loans are subject to, among other things, an original issue discount of 2.00% payable on the Closing Date, as well as an exit fee of 2.00% payable on maturity, prepayment or acceleration of such loans.
The foregoing description of the Amendment is not complete and is qualified in its entirety by reference to the full text of the Amendment, a copy of which will be filed on the Company’s profile on SEDAR+ at www.sedarplus.ca.
About FLUENT Corp.
FLUENT, a national cannabis consumer packaged goods company and retailer, is dedicated to being one of the highest quality cannabis companies for the communities it serves. This is driven by FLUENT’s unrelenting commitment to operational excellence in cultivation, production, distribution, and retail experience. FLUENT produces an assortment of cannabis products under a diverse portfolio of brands including MOODS, Knack, Wandr, Bag-O and Hyer Kind. FLUENT operates in Florida, New York, and Texas.
Headquartered in Tampa, Florida, FLUENT employs approximately 550 employees across 6 cultivation and manufacturing facilities and 34 active retail locations.
The common shares of the Company trade on the Canadian Securities Exchange (the “CSE”) under the symbol “FNT.U” and on the OTCQB Venture Market under the symbol “CNTMF”. For more information about the Company, please visit www.getFLUENT.com and investors.getFLUENT.com/.
About Chicago Atlantic
Chicago Atlantic is a private markets alternative investment manager focused on industries and companies where demand for capital exceeds traditional supply. The firm’s investment strategies include opportunistic private credit and equity with focuses on loans to esoteric industries, specialty asset-based loans, liquidity solutions and growth and technology finance. Chicago Atlantic has closed over $3.3 billion in credit facilities. Chicago Atlantic’s team of over 100 professionals has offices in Chicago, Miami, New York and London. For more information on Chicago Atlantic’s investment opportunities and financing products, visit https://www.chicagoatlantic.com/.
