News Category Global Banking & Finance Reviews
General Cannabis Corp Strengthens Balance Sheet by Raising New Capital, Retiring Existing Debt and Extinguishing Put Obligation
General Cannabis Corp Strengthens Balance Sheet by Raising New Capital, Retiring Existing Debt and Extinguishing Put Obligation
DENVER, Jan. 04, 2021 General Cannabis Corp (OTCQB: CANN) today announced that it has raised over $2.9 million of senior convertible promissory notes (“Notes”) and extinguished an existing put obligation. Collectively, these actions restructure the Company’s debt, reduce its interest expense, increase its operating cash and provide additional financial flexibility.
In conjunction with this capital raise, the Company has now rolled or extinguished over $2 million of its outstanding short-term debt, which carried a 15% annual interest rate and was to come due in the first quarter of 2021, and replaced it with Notes that have a 10% annual coupon and mature in December 2023.�