ACRHF News & Events

Canopy Growth (CGC) and Acreage Holdings (ACRHF) announced that it is anticipated that Canopy USA will complete its acquisition of Acreage on or around December 9, subject to the satisfaction or waiver of closing conditions set out in the arrangement agreements. Canopy Growth and Acreage are party to an arrangement agreement dated April 18, 2019, as amended, relating to the proposed acquisition of all issued and outstanding Class E subordinate voting shares of Acreage pursuant to a plan of arrangement under the Business Corporations Act. The fixed share acquisition is anticipated to occur immediately after the acquisition of the Class D subordinate voting shares of Acreage pursuant to a plan of arrangement under the Business Corporations Act in accordance with the arrangement agreement dated October 24, 2022, as amended, among Canopy Growth, Acreage and Canopy USA. Upon the closing of the acquisitions, Canopy USA will own 100% of the issued and outstanding shares of Acreage. As previously announced by Acreage, if the price of the common shares of Canopy Growth on the Nasdaq does not go above $5.00 prior to closing of the acquisitions, holders of fixed shares will not receive any consideration in exchange for their fixed shares.

Acreage Holdings (ACRHF) announce that it has entered into an amended and restated credit agreement with a subsidiary of Canopy Growth Corporation (CGC) and a third-party lender, amending the amended and restated credit agreement dated June 3, 2024 among Acreage, High Street Capital Partners as borrower, and the other parties thereto. The New Lender advanced $65M with an original issue discount of 10%, being $6.5M. Approximately $48M of the amount advanced by the New Lender was used to repay amounts owing by Acreage pursuant to the Prior Credit Agreement to the non-Canopy lender. As a result, the Prior Lender has been repaid in full. The net proceeds of the loan to Acreage totals approximately $8M after closing costs and expenses. The Amended and Restated Credit Agreement provides for an annual interest rate of 13.5% and matures on September 13, 2027. Interest in favour of the New Lender will be paid in cash. Interest in favour of Canopy is payable in cash or in kind at Acreage's option and will initially be payable in-kind. The Amended and Restated Credit Agreement also provides the New Lender with a board observer right.