Akanda Corp. Raises $7 Million via 12-Month Convertible Note Financing

Akanda Corp ( (AKAN) ) just unveiled an update.

On January 20, 2026, Akanda Corp. entered into a securities purchase agreement with institutional investors to issue 12‑month convertible promissory notes for gross proceeds of $7.0 million in a private placement, with closing expected on January 21, 2026. The notes, bearing 10% annual interest and convertible into common shares at a variable price subject to a floor, include ownership caps for investors, restrictions on Akanda’s ability to issue additional dilutive securities without consent, and redemption and default provisions that can increase the cost of capital. Akanda plans to allocate up to $2.3 million of the proceeds to marketing, approximately $2.6 million to working capital and general corporate purposes, and up to $2.1 million to repay existing debt, potentially easing near‑term liquidity pressures while introducing future dilution risk for shareholders; the company also granted Univest Securities a six‑month right of first refusal on future capital-raising mandates and agreed to register the resale of the conversion shares, underscoring its ongoing reliance on structured financing to support operations and integration of recent acquisitions.

More about Akanda Corp

Akanda Corp. is a Toronto-based company listed on Nasdaq that operates in the cannabis and related sectors, pursuing growth through acquisitions such as First Towers and Fiber Corp. The company focuses on developing and marketing its products and services in regulated markets while managing a significant debt load and seeking continued access to capital markets for expansion and working capital needs.

Average Trading Volume: 727,628

Technical Sentiment Signal: Sell

Current Market Cap: $2.56M

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