Flower One Holdings Inc. (“Flower One”), a leading cannabis cultivator, producer, and innovator in Nevada announced today it does not intend to make the applicable interest payments due on December 31, 2020, related to its Unsecured Convertible Debentures issued in March 2019 and November 2019 (collectively the “Debentures“). The aggregate interest payment due on December 31, 2020, is CDN$2,457,983, and as of today’s date, the aggregate principal amount outstanding on the Debentures is US$38.3 million. All of the Debentures bear interest at 9.5%. Under the terms of the Debentures, the Company has 30 days from the interest payment due date to pay the interest, before there will be an event of default under the Debentures. The Company continues to pursue a range of financing alternatives and has determined that it is prudent for the Company to preserve cash in the short term pending further information about the availability and terms of any such alternatives.
Rob Meagher, Cannabis Business Executive – Cannabis and Marijuana industry news, 01/01/2021 06:26:00
Open article: https://www.cannabisbusinessexecutive.com/2021/01/flower-one-provides-update-convertible-debenture-interest-payment/