Akerna Closes $17 Million Debt Financing
Akerna Corp. (Nasdaq: KERN) has successfully closed a $17 million debt financing with institutional investors, aimed at enhancing its growth initiatives and technology infrastructure. The financing, structured as a Senior Secured Convertible Note, will mature on June 1, 2023, and can be converted into common stock at $11.50 per share. CEO Jessica Billingsley highlighted that this financing strengthens Akerna's balance sheet and allows the company to capitalize on emerging opportunities in the cannabis sector amid increasing legalization efforts.
- Closed $17 million debt financing to support growth initiatives.
- Strengthens balance sheet and technology infrastructure.
- Capitalizes on accelerating cannabis legalization and emerging market opportunities.
- None.
DENVER, June 09, 2020 (GLOBE NEWSWIRE) -- Akerna Corp. (Nasdaq: KERN), a leading provider of enterprise software solutions for the cannabis industry, has closed a
"This financing further strengthens our balance sheet and gives us the ability to capitalize on the significant opportunities that are emerging for Akerna on the heels of the COVID-19 epidemic,” said Jessica Billingsley, chief executive officer, Akerna. “We are seeing more states pursue accelerated cannabis legalization as a means to close budget gaps, as the industry is proving to be recession resilient and, in many states, has been deemed an essential industry. With this financing, we are taking advantage of our unique access to the capital markets to fortify our position as the only scaled technology provider serving the cannabis industry."
The financing is in the form of a Senior Secured Convertible Note (the “Note”), which is convertible into common stock at
A.G.P./Alliance Global Partners acted as the sole placement agent for the financing. For additional details regarding the agreement, please reference the Form 8-K filed with the U.S. Securities and Exchange Commission on June 9, 2020.
About Akerna
Akerna is a global regulatory compliance technology company. Akerna's service offerings include MJ Platform®, Leaf Data Systems®, solo sciences tech platform and Trellis. Since its establishment in 2010, Akerna has tracked more than
Forward-Looking Statements
Certain statements made in this release are "forward-looking statements" within the meaning of the "safe harbor" provisions of the United States Private Securities Litigation Reform Act of 1995. When used in this press release, the words "estimates," "projected," "expects," "anticipates," "forecasts," "plans," "intends," "believes," "seeks," "may," "will," "should," "future," "propose" and variations of these words or similar expressions (or the negative versions of such words or expressions) are intended to identify forward-looking statements. Such forward-looking statements include but are not limited to statements regarding sustained increases in demand for Cannabis and the ability of the MJ Platform team to help operators make decisions through analytics and reporting. These forward-looking statements are not guarantees of future performance, conditions or results, and involve a number of significant known and unknown risks, uncertainties, assumptions, and other important factors, many of which are outside Akerna's control, that could cause actual results or outcomes to differ materially from those discussed in the forward-looking statements. Important factors, among others that may affect actual results or outcomes, include (i) Akerna's ability to maintain relationships with customers and suppliers and retain its management and key employees, (ii) changes in applicable laws or regulations, (iii) changes in the market place due to the coronavirus pandemic or other market factors, (iv) and other risks and uncertainties disclosed from time to time in Akerna's filings with the U.S. Securities and Exchange Commission, including those under "Risk Factors" therein. You are cautioned not to place undue reliance on forward-looking statements. All information herein speaks only as of the date hereof, in the case of information about Akerna, or the date of such information, in the case of information from persons other than Akerna. Akerna undertakes no duty to update or revise the information contained herein. Forecasts and estimates regarding Akerna's industry and end markets are based on sources believed to be reliable; however, there can be no assurance these forecasts and estimates will prove accurate in whole or in part.
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| D. Nikki Wheeler | Jason Assad |
| Nikki.Wheeler@Akerna.com | JAssad@akerna.com |
| 303-514-2012 | 678-570-6791 |
FAQ
What is the purpose of Akerna's $17 million debt financing?
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