Cannara Biotech announces amendment, upsize of BMO credit facility

Cannara Biotech (LOVFF) announced amendments to its existing credit facility with Bank of Montreal acting as administrative agent, lead arranger, syndication agent and sole bookrunner, including a $10M upsize to support strategic capital investments at its Valleyfield facility. The Restated Credit Facility includes the addition of a $10M committed delayed capital expenditures debt facility. The Capital Expenditures Facility is available by way of multiple draws until July 2026 with a 10-year amortization schedule, repaid in quarterly instalments of unblended payments of principal and interest, with the remaining balance due on December 31, 2027. The new Capital Expenditures Facility will fund the initial phase of Cannara’s post-harvest expansion at Valleyfield, introducing hang-drying, freezing, trimming, and packaging capabilities, expanded processing and storage areas, and enhanced butane extraction capacity. By enabling upcoming cultivation room activations beyond the current 12 operating zones, this phase lays the foundation for Cannara’s next stage of growth and advances the Company toward its long-term goal of 100,000 kg in annual production capacity.