Cansortium Inc. Successfully Secures New Senior Credit Agreement in Preparation for Business Combination with RIV Capital
TAMPA, Fla., Nov. 26, 2024 (GLOBE NEWSWIRE)
Cansortium Inc. (CSE: TIUM.U) (OTCQB: CNTMF), a vertically integrated, multi-state cannabis company operating under the FLUENT™ brand, has recently announced the successful closure of a new senior secured credit agreement with Chicago Atlantic Admin, LLC. This credit agreement, totaling up to $96,500,000, will support the company’s strategic goals and pave the way for its upcoming business combination with RIV Capital.
The Credit Agreement features a cash interest rate of 12.00% per annum along with paid-in-kind (PIK) interest of 1.00% per annum. The maturity date for this agreement is set for November 26, 2028. This new financial arrangement reflects Cansortium’s commitment to growth, innovation, and market leadership in the rapidly evolving cannabis industry.
By securing this credit agreement, Cansortium is poised to strengthen its financial position, enhance operational efficiency, and pursue exciting opportunities for expansion and diversification. This move aligns with the company’s vision of delivering high-quality products and services to consumers while maximizing shareholder value.
Impact on Individual Stakeholders
For individual investors and stakeholders, this development signifies Cansortium’s dedication to long-term sustainability and growth. By securing a substantial credit agreement, the company demonstrates its ability to manage financial resources effectively and seize strategic opportunities in the competitive cannabis market.
Global Implications
In the wider context of the global cannabis industry, Cansortium’s new senior credit agreement signals a shift towards greater financial stability and strength among key players in the market. This move may inspire other companies to explore similar financing options, leading to increased investment, collaboration, and innovation within the industry.
Conclusion
Cansortium’s successful securing of a new senior credit agreement with Chicago Atlantic Admin, LLC marks a significant milestone in the company’s journey towards sustainable growth and market leadership. Through strategic partnerships and financial arrangements, Cansortium is well-positioned to capitalize on emerging opportunities, drive innovation, and deliver value to both shareholders and consumers in the dynamic cannabis sector.
