TerrAscend announced that certain entities consolidated by the Company in Michigan have completed the second draw of $26 million in gross proceeds of the Company’s senior secured term loan for total gross proceeds of $140 million from funds managed by FocusGrowth Asset Management, along with other members of a loan syndicate, which was previously announced on August 2, 2024. The proceeds from the second draw were used to pay down the Company’s higher interest Michigan debt. The Loan included an initial draw of $114 million in gross proceeds, which was completed in August 2024, bringing the total gross proceeds under the Transaction to $140 million. The Loan carries an interest rate of 12.75%, matures in August 2028, contains no prepayment penalties and is guaranteed by the Company and TerrAscend USA, Inc. No warrants were issued as part of the Loan. The Loan is secured by the Consolidated Entities in Pennsylvania, California and Michigan, as well as certain entities in Maryland. Ventum Capital Markets acted as the exclusive financial advisor to the Company for the Transaction.
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