Cannabis Retailer Fire & Flower Taps Alberta Crown Corporation for $10 Million Credit Line

Visit the Fire and Flower Investor Dashboard and stay up to date with data-driven, fact based due diligence for active traders and investors.

Fire & Flower Enters Into Commitment Letter for up to $10 Million (with an option for an additional $5 Million subject to conditions) in Senior Secured Credit with ATB Financial

EDMONTON, April 21, 2020 /CNW/ – Fire & Flower Holdings Corp. (“Fire & Flower” or the “Company”) (TSX: FAF OTCQX: FFLWF) today announced that it has entered into a commitment letter to obtain up to an aggregate amount of $10 million (with an option for an additional $5 Million subject to conditions as further described below) in secured, non-dilutive credit facilities with ATB Financial (the “Commitment Letter”).

The new financing will be comprised of two separate loan facilities on a two-year term: a revolving credit facility in the amount of $5 million, and a term loan in the amount of $5 million. Both loan facilities bear interest at ATB Financial’s reference rates plus a spread. The Commitment Letter also includes an “accordion” option to increase the revolving facility by an additional $5 million, subject to ATB Financial’s consent and certain other customary conditions. Funding will become available under the Commitment Letter upon the Company satisfying all applicable conditions precedent, which it anticipates it will accomplish prior to the end of April, 2020.

These new credit facilities will continue to strengthen our financial position and enable Fire & Flower to continue its national growth plan across cannabis retail markets in Canada.

Trevor Fencott, Chief Executive Officer of Fire & Flower.

Fire & Flower has obtained these credit facilities on favorable commercial terms and are secured by the assets of the Company and its subsidiaries. Additional details on the credit facilities with ATB Financial can be found in the Company’s documents that will be filed on SEDAR at www.sedar.com.

ATB Financial is the largest Alberta-based financial institution with over $50 billion in assets.

About Fire & Flower

Fire & Flower is a leading purpose-built, independent adult-use cannabis retailer poised to capture significant Canadian market share. The Company guides consumers through the complex world of cannabis through education-focused, best-in-class retailing while the HifyreTM digital platform connects consumers with cannabis products. The Company’s leadership team combines extensive experience in the cannabis industry with strong capabilities in retail operations.

Fire & Flower Holdings Corp. owns all issued and outstanding shares in Fire & Flower Inc., a licensed cannabis retailer that owns or has interest in cannabis retail store licences in the provinces of Alberta, Saskatchewan, Manitoba and Ontario and the Yukon territory.

Through its strategic investment with Alimentation Couche-Tard Inc. (ATD.A, ATD.B), the Company has set its sights on the global expansion as new cannabis markets emerge.

Original Press Release

For fact-based information on Fire & Flower, view the company’s sponsored Investor Dashboard.

Get ahead of the crowd by signing up for 420 Investor, the largest & most comprehensive premium subscription service for cannabis traders and investors since 2013.

Published by NCV Newswire
NCV Newswire
The NCV Newswire by New Cannabis Ventures aims to curate high quality content and information about leading cannabis companies to help our readers filter out the noise and to stay on top of the most important cannabis business news. The NCV Newswire is hand-curated by an editor and not automated in anyway. Have a confidential news tip? Get in touch.

Get Our Sunday Newsletter