Supreme Cannabis Effects Debenture Amendments

Rhea-AI Summary

The Supreme Cannabis Company, Inc. (OTCQX: SPRWF) announced the successful implementation of amendments to its 6.0% senior unsecured subordinated convertible debentures initially issued in October 2018. This includes a principal reduction of $63.5 million and the issuance of 116.6 million common shares and $10,769 in accretion debentures to debentureholders. These changes are expected to improve the company's financial structure and are part of ongoing efforts to enhance operational flexibility.

Positive

• Reduction of debenture principal by $63.5 million, improving financial health.
• Issuance of 116.6 million common shares to debentureholders, enhancing liquidity.

Negative

• None.

TORONTO, Sept. 9, 2020 /PRNewswire/ - The Supreme Cannabis Company, Inc. ("Supreme Cannabis" or the "Company") (TSX: FIRE) (OTCQX: SPRWF) (FRA: 53S1) is pleased to announce that the previously announced amendments (the "Amendments") to the terms of the Company's outstanding 6.0% senior unsecured subordinated convertible debentures issued in October 2018 (the "Debentures"), have been effected.

In consideration of the reduction of the principal amount of the Debentures by $63.5 million, among other consideration, the Company issued an aggregate of 116.6 million common shares (the "Consideration Shares") and $10,769 principal amount of accretion debentures to Debentureholders and entered into a supplemental trust indenture to implement the Amendments.

About Supreme Cannabis.

The Supreme Cannabis Company, Inc., (TSX: FIRE) (OTCQX: SPRWF) (FRA: 53S1), is a global diversified portfolio of distinct cannabis companies, products and brands. Since 2014, the Company has emerged as one of the world's most premium producers of recreational, wholesale and medical cannabis products.

Supreme Cannabis' portfolio of brands caters to diverse consumer and patient experiences, with brands and products that address recreational, wellness, medical and new consumer preferences. The Company's recreational brand portfolio includes, 7ACRES, Blissco, 7ACRES Craft Collective, Sugarleaf and Hiway. Supreme Cannabis addresses national and international medical cannabis opportunities through its premium Truverra brand.

Supreme Cannabis' brands are backed by a focused suite of world-class operating assets that serve key functions in the value chain, including, scaled cultivation, value-add processing, automated packaging and product testing and R&D. Follow the Company on Instagram, Twitter, Facebook, LinkedIn and YouTube.

We simply grow better.

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SOURCE The Supreme Cannabis Company, Inc.

FAQ

What is the significance of the amendments to Supreme Cannabis' convertible debentures?

The amendments allow for a $63.5 million reduction in principal, enhancing the company's financial health.

How many shares did Supreme Cannabis issue related to the debenture amendments?

Supreme Cannabis issued 116.6 million common shares to debentureholders as part of the amendments.

What was the original issue date of Supreme Cannabis' convertible debentures?

The convertible debentures were originally issued in October 2018.

What is the stock symbol for Supreme Cannabis?

The stock symbol for Supreme Cannabis is SPRWF on the OTCQX.