TerrAscend Completes $79 Million Non-Dilutive Debt Financing
TerrAscend (OTCQX: TSNDF), a leading North American cannabis company, has secured a $79 million non-dilutive debt financing through a senior secured syndicated term loan. The transaction, led by FocusGrowth Asset Management, includes using $68 million to retire existing debt, with the remainder allocated for future growth initiatives.
The loan carries a 12.75% interest rate and matures in August 2028, with no prepayment penalties. Additionally, an uncommitted term loan facility of up to $35 million will be available for future M&A opportunities. The financing includes insider participation from Executive Chairman Jason Wild, who invested approximately $1.6 million as part of the loan syndicate.
TerrAscend (OTCQX: TSNDF), una delle principali aziende di cannabis del Nord America, ha ottenuto un finanziamento a debito non diluitivo di 79 milioni di dollari tramite un prestito sindacato garantito senior a termine. L'operazione, guidata da FocusGrowth Asset Management, prevede l'utilizzo di 68 milioni di dollari per estinguere debiti esistenti, mentre il restante sar脿 destinato a iniziative di crescita futura.
Il prestito prevede un tasso di interesse del 12,75% e scade nell'agosto 2028, senza penali per il rimborso anticipato. Inoltre, sar脿 disponibile una linea di credito a termine non impegnativa fino a 35 milioni di dollari per future opportunit脿 di fusioni e acquisizioni. Il finanziamento include la partecipazione interna del Presidente Esecutivo Jason Wild, che ha investito circa 1,6 milioni di dollari come parte del sindacato di prestito.
TerrAscend (OTCQX: TSNDF), una destacada empresa de cannabis en Norteam茅rica, ha asegurado un financiamiento de deuda no dilutiva de 79 millones de d贸lares mediante un pr茅stamo sindicado garantizado senior a plazo. La transacci贸n, liderada por FocusGrowth Asset Management, incluye el uso de 68 millones de d贸lares para cancelar deuda existente, destinando el resto a iniciativas de crecimiento futuro.
El pr茅stamo tiene una tasa de inter茅s del 12,75% y vence en agosto de 2028, sin penalizaciones por pago anticipado. Adem谩s, habr谩 una l铆nea de pr茅stamo a plazo no comprometida de hasta 35 millones de d贸lares disponible para futuras oportunidades de fusiones y adquisiciones. La financiaci贸n incluye la participaci贸n interna del Presidente Ejecutivo Jason Wild, quien invirti贸 aproximadamente 1,6 millones de d贸lares como parte del sindicato del pr茅stamo.
TerrAscend (OTCQX: TSNDF)電� 攵侂毳� 靹犽弰頃橂姅 雽�毵堨磮 旮办梾鞙茧靹�, 靹犾垳鞙� 雼措炒 鞁犽敂旒�鞚错姼 毵岅赴 雽�於滌潉 韱淀暣 7,900毵� 雼煬鞚� 牍勴潿靹濎劚 攵�毂� 鞛愱笀 臁半嫭鞚� 頇曤炒頄堨姷雼堧嫟. 鞚� 瓯半灅電� FocusGrowth Asset Management臧� 欤茧弰頄堨溂氅�, 6,800毵� 雼煬電� 旮办〈 攵�毂� 靸來櫂鞐� 靷毄霅橁碃 雮橂ǜ歆�電� 頄ロ泟 靹膘灔 瓿勴殟鞐� 頃犽嫻霅╇媹雼�.
雽�於� 旮堧Μ電� 12.75%鞚措┌ 2028雲� 8鞗� 毵岅赴鞚搓碃, 臁瓣赴 靸來櫂 韼橂剱韹半姅 鞐嗢姷雼堧嫟. 霕愴暅, 頄ロ泟 鞚胳垬頃╇硲 旮绊殞毳� 鞙勴暣 斓滊寑 3,500毵� 雼煬鞚� 牍勳暯鞝� 毵岅赴 雽�於� 鞁滌劋霃� 毵堧牗霅╇媹雼�. 鞚措矆 鞛愱笀 臁半嫭鞐愲姅 瓴届榿鞙勳洂鞛� 鞝滌澊鞀� 鞕�鞚茧摐臧� 鞎� 160毵� 雼煬毳� 韴瀽頃� 鞁犽敂旒�鞚错姼鞐� 彀胳棳頄堨姷雼堧嫟.
TerrAscend (OTCQX : TSNDF), une entreprise nord-am茅ricaine majeure dans le secteur du cannabis, a obtenu un financement par dette non dilutive de 79 millions de dollars via un pr锚t senior garanti syndiqu茅 脿 terme. L'op茅ration, men茅e par FocusGrowth Asset Management, pr茅voit d'utiliser 68 millions de dollars pour rembourser une dette existante, le reste 茅tant destin茅 脿 des initiatives de croissance futures.
Le pr锚t porte un taux d'int茅r锚t de 12,75% et arrive 脿 茅ch茅ance en ao没t 2028, sans p茅nalit茅s de remboursement anticip茅. De plus, une facilit茅 de pr锚t 脿 terme non engag茅e pouvant atteindre 35 millions de dollars sera disponible pour de futures opportunit茅s de fusions-acquisitions. Le financement inclut la participation interne du pr茅sident ex茅cutif Jason Wild, qui a investi environ 1,6 million de dollars en tant que membre du syndicat de pr锚t.
TerrAscend (OTCQX: TSNDF), ein f眉hrendes nordamerikanisches Cannabisunternehmen, hat eine nicht verw盲ssernde Fremdfinanzierung in H枚he von 79 Millionen US-Dollar durch einen gesicherten syndizierten Senior-Terminkredit gesichert. Die Transaktion, angef眉hrt von FocusGrowth Asset Management, sieht vor, 68 Millionen US-Dollar zur Tilgung bestehender Schulden zu verwenden, w盲hrend der Rest f眉r zuk眉nftige Wachstumsinitiativen vorgesehen ist.
Der Kredit hat einen Zinssatz von 12,75% und l盲uft bis August 2028, ohne Vorf盲lligkeitsentsch盲digungen. Zus盲tzlich steht eine unverbindliche Terminkreditfazilit盲t von bis zu 35 Millionen US-Dollar f眉r zuk眉nftige M&A-M枚glichkeiten zur Verf眉gung. Die Finanzierung umfasst auch eine Insiderbeteiligung des Executive Chairman Jason Wild, der etwa 1,6 Millionen US-Dollar als Teil des Kreditkonsortiums investiert hat.
- Secured $79 million in non-dilutive financing without warrant issuance
- Extended debt maturity to late 2028 with no material debt maturing before then
- Additional $35 million facility available for strategic M&A
- No prepayment penalties on the loan, providing financial flexibility
- Higher interest rate at 12.75% on the new debt
- Related party transaction with insider participation may raise governance concerns
Proceeds used to retire
Additional facility of up to
No material debt maturing until late 2028
TORONTO, July 09, 2025 (GLOBE NEWSWIRE) -- TerrAscend Corp. (鈥淭errAscend鈥� or the 鈥淐ompany鈥�) (TSX: TSND, OTCQX: TSNDF), a leading North American cannabis company, today announced that the Company, together with certain entities that are consolidated by the Company (the 鈥淐onsolidated Entities鈥�), has closed on an upsize to its senior secured syndicated term loan (the 鈥淟oan鈥�) of
The Loan, led by FocusGrowth Asset Management, LP (鈥淔ocusGrowth鈥�), a leading capital provider to the cannabis sector, carries an interest rate of
鈥淭his loan extends the vast majority of our debt until late 2028 and provides additional capital to execute on our growth initiatives, including M&A,鈥� said Jason Wild, Executive Chairman of TerrAscend. 鈥淭his transaction reflects FocusGrowth鈥檚 confidence in the Company鈥檚 vision and strategy. Their team has been a pleasure to work with, and we look forward to a long and successful partnership together.鈥�
鈥淥ur team is excited to further our partnership with the TerrAscend team to support their growth,鈥� said Peter Bio, Partner of FocusGrowth. 鈥淭errAscend has established itself as a market leader in multiple states with ample greenfield opportunities for growth in both new and existing markets. We have enjoyed working with the team on this transaction and are already working with management to evaluate additional opportunities.鈥�
The Transaction constitutes a 鈥渞elated party transaction鈥� within the meaning of Multilateral Instrument 61鈥�101 Protection of Minority Security Holders in Special Transactions (鈥淢I 61鈥�101鈥�) because Jason Wild, an insider of the Company, directly or indirectly invested approximately US
About TerrAscend
TerrAscend is a leading TSX-listed cannabis company with interests across the North American cannabis sector, including operations in Pennsylvania, New Jersey, Maryland, Ohio, Michigan and California through TerrAscend Growth Corp. and retail operations in Canada, TerrAscend operates The Apothecarium, Gage and other dispensary retail locations as well as scaled cultivation, processing, and manufacturing facilities in its core markets. TerrAscend鈥檚 cultivation and manufacturing practices yield consistent, high-quality cannabis, providing industry-leading product selection to both the medical and legal adult-use markets. The Company owns or licenses several synergistic businesses and brands including Gage Cannabis, The Apothecarium, Cookies, Lemonnade, Ilera Healthcare, Kind Tree, Legend, State Flower, Wana, and Valhalla Confections. For more information visit .
Caution Regarding Cannabis Operations in the United States
Investors should note that there are significant legal restrictions and regulations that govern the cannabis industry in the United States. Cannabis remains a Schedule I drug under the U.S. Controlled Substances Act, making it illegal under federal law in the United States to, among other things, cultivate, distribute or possess cannabis in the United States. Financial transactions involving proceeds generated by, or intended to promote, cannabis-related business activities in the United States may form the basis for prosecution under applicable US federal money laundering legislation.
While the approach to enforcement of such laws by the federal government in the United States has trended toward non-enforcement against individuals and businesses that comply with medical or adult-use cannabis programs in states where such programs are legal, strict compliance with state laws with respect to cannabis will neither absolve TerrAscend of liability under U.S. federal law, nor will it provide a defense to any federal proceeding which may be brought against TerrAscend. The enforcement of federal laws in the United States is a significant risk to the business of TerrAscend and any proceedings brought against TerrAscend thereunder may adversely affect TerrAscend鈥檚 operations and financial performance.
Forward-Looking Information
This press release contains 鈥渇orward-looking information鈥� within the meaning of applicable securities laws. Forward-looking information contained in this press release may be identified by the use of words such as, 鈥渕ay鈥�, 鈥渨ould鈥�, 鈥渃ould鈥�, 鈥渨ill鈥�, 鈥渓ikely鈥�, 鈥渆xpect鈥�, 鈥渁nticipate鈥�, 鈥渂elieve,鈥� 鈥渋ntend鈥�, 鈥減lan鈥�, 鈥渇orecast鈥�, 鈥減roject鈥�, 鈥渆stimate鈥�, 鈥渓ook forward to鈥�, 鈥渙utlook鈥� and other similar expressions, and include, but are not limited to, statements with respect to the Company鈥檚 expectation of future availability of funds under the uncommitted term loan; and the Company鈥檚 growth prospects in new and existing markets. Forward-looking information is not a guarantee of future performance and is based upon a number of estimates and assumptions of management in light of management鈥檚 experience and perception of trends, current conditions and expected developments, as well as other factors relevant in the circumstances, including assumptions in respect of current and future market conditions, the current and future regulatory environment, and the availability of licenses, approvals and permits.
Although the Company believes that the expectations and assumptions on which such forward-looking information is based are reasonable, undue reliance should not be placed on the forward-looking information because the Company can give no assurance that they will prove to be correct. Actual results and developments may differ materially from those contemplated by these statements. Forward-looking information is subject to a variety of risks and uncertainties that could cause actual events or results to differ materially from those projected in the forward-looking information. Such risks and uncertainties include, but are not limited to, current and future market conditions; risks related to federal, state, provincial, territorial, local and foreign government laws, rules and regulations, including federal and state laws in the United States relating to cannabis operations in the United States; and the risk factors set out in the Company鈥檚 most recently filed MD&A, filed with the Canadian securities regulators and available under the Company鈥檚 profile on SEDAR+ at and in the section titled 鈥淩isk Factors鈥� in the Company鈥檚 Annual Report for the year ended December 31, 2024 filed with the Securities and Exchange Commission on March 6, 2025.
The statements in this press release are made as of the date of this release. The Company disclaims any intent or obligation to update any forward-looking information, whether, as a result of new information, future events, or results or otherwise, other than as required by applicable securities laws.
For more information regarding TerrAscend:
Ziad Ghanem
Chief Executive Officer
689-345-4114
Investor Relations Contact:
KCSA Strategic Communications
Valter Pinto, Managing Director
212-896-1254
FAQ
What are the key terms of TerrAscend's (TSNDF) new debt financing?
How will TerrAscend use the proceeds from the $79 million debt financing?
What additional financing facility is available to TerrAscend for M&A?
Who led TerrAscend's debt financing and what was the insider participation?
When does TerrAscend's new debt mature?
