FLOWER ONE HOLDINGS INC - FLOOF STOCK NEWS

Flower One Holdings Inc. (CSE: FONE, OTCQX: FLOOF) has extended the maturity date of its USD $6,000,000 short-term debt from July 24, 2022 to December 31, 2022. The extension is exempt from formal valuation and minority approval due to financial hardship exemptions under MI 61-101. Flower One is the leading cannabis producer in Nevada, known for its extensive cultivation and production capabilities, providing a variety of cannabis products for numerous top brands. The company emphasizes its commitment to quality and accessibility in the cannabis market.

Flower One Holdings reported first quarter 2022 revenue of $8.9M, representing about 10-15% of Nevada's wholesale cannabis market. Despite a challenging market due to the pandemic and black market pressures, the company decreased production costs by 35%. Flower One completed financing of $10.1M and reduced its total liabilities by $28.2M year-over-year. The net loss for the quarter was $10.2M, an improvement from $15.8M in the previous year. The company maintains a cash position of $4.7M.

Flower One Holdings Inc. (CSE: FONE, OTCQX: FLOOF) announced significant advancements in its restructuring efforts, including a Term Debt Modification Agreement impacting $45.65 million in term debt, which allows for deferred interest payments until October 31, 2022, a 30% reduction in cash interest payments, and an extended maturity date to January 31, 2026. Additionally, a Master Lease Modification Agreement will defer payments and extend the lease maturity to March 3, 2025. These measures aim to enhance liquidity and support sustainable growth amid challenging market conditions.

Flower One Holdings Inc. (CSE: FONE, OTCQX: FLOOF) reported a 70% revenue increase to $58.4M for the year ended December 31, 2021. Gross profit surged 153% year-over-year, achieving a 37% margin. Despite a successful year overall, the fourth quarter saw revenue decline due to seasonal factors and increased competition. The company is actively restructuring its debt, aiming for better operational efficiency and improved product quality. Flower One also announced key updates to its Board of Directors as part of its growth strategy.

Flower One Holdings, a leading cannabis producer in Nevada, has appointed Tim Shoemake as Chief Operating Officer, effective June 28, 2022. With over 25 years in global agriculture and food manufacturing, Shoemake's expertise includes partnerships with major brands like Coca-Cola and PepsiCo. His extensive experience in complex supply chains is expected to enhance operational efficiency. The leadership team is optimistic about his impact on delivering quality and consistency to the company’s products, aiding growth and industry competitiveness.

Flower One Holdings Inc. (CSE: FONE, OTCQX: FLOOF) has announced the launch of Kuno, a cannabis brand aimed at veterans, providing quality products at discounted prices. A portion of sales will support the SEAL Future Foundation and other veteran charities. Kuno products will be available starting June 24, 2022, at various Nevada retailers, including Jardin and NuWu. This initiative emphasizes the importance of cannabis for veterans' psychological health, aligning with Flower One's commitment to serving the cannabis community effectively.

Flower One Holdings Inc. (OTCQX: FLOOF) issued its fourth bi-weekly status report regarding its ongoing delay in filing audited annual financial statements for the year ended December 31, 2021. The company was granted a Management Cease Trade Order (MCTO) to allow more time for auditors MNP LLP to complete their review, which is hindered by logistical challenges from COVID-19 and changes in the finance department. The company expects to file the Annual Filings by June 30, 2022. The Interim Filings for Q1 2022 will also be delayed beyond the May 31, 2022 deadline.

Flower One Holdings Inc. (CSE: FONE, OTCQX: FLOOF) is issuing common shares to debenture holders as part of an interest payment totaling CAD$620,964, covering obligations due on June 30, 2022, for convertible debentures dated March and November 2019. The share price will be based on a 20-day volume-weighted average prior to June 9, 2022. The issuance requires regulatory approvals and the shares will not have resale restrictions under Canadian law, though U.S. holders will find them as restricted securities. Flower One is a leading cannabis producer in Nevada.

Flower One Holdings Inc. has secured a $5M loan from RB Loan Portfolio II, LLC, aiming to enhance financial flexibility and complete greenhouse upgrades. This funding will help the company work towards achieving positive cash flow and support existing $45.65M term debt. The loan arrangement, linked to an insider transaction, is exempt from standard valuation and approval requirements due to financial hardship exemptions. CEO Kellen O’Keefe emphasized the importance of this loan for future growth and shareholder value.