CALGARY, July 8, 2019 /CNW/ - Sundial Growers Inc. ("Sundial") is pleased to announce that it has closed two significant finance transactions over the past quarter.
The first is a private placement of unsecured convertible notes (the "Notes") for gross proceeds of C$92.6 million. The Notes accrue interest in kind and will mature in five years, unless earlier converted.
The second is a four-year term debt facility with an initial tranche of C$115 million and a second tranche of C$44.6 million to be available on the fulfilment of certain predefined conditions precedent.
"These transactions facilitate Sundial's strategic plans for facility construction, debt repayment, accretive acquisitions and general corporate purposes," said Torsten Kuenzlen, Chief Executive Officer of Sundial. "The proceeds, a portion of which has already been used, enable Sundial to continue our ambitious strategic growth plan and support our purpose of proudly crafting pioneering cannabis brands to Heal, Help and PlayTM."
About Sundial Growers Inc.
Sundial proudly crafts pioneering cannabis brands to Heal, Help and PlayTM:
- Heal – cannabis products used as prescription medicine
- Help – cannabis products that strive to promote health and wellness through CBD
- Play – cannabis products to enhance social, spiritual and recreational occasions
In Canada, Sundial is a 'craft-at-scale' licensed producer using purpose-built modular facilities and award-winning genetics. We currently operate two locations in Alberta, including our new flagship operation in Olds and our original facility in Rocky View. We have also commenced construction on our third facility in Merritt, British Columbia. Through our recent acquisition of the UK-based Bridge Farm Group, we plan to produce and sell high-quality CBD products globally.
Our teams of passionate, experienced growers focus on quality and consistency to deliver premium products. During peak season, Sundial employs more than 1,200 people, both full-time and seasonal, bringing economic development to the local communities in which we operate.
Forward-Looking Information Cautionary Statement
This news release includes statements containing certain "forward-looking information" within the meaning of applicable securities law ("forward-looking statements"). Forward-looking statements in this release include, but are not limited to, our intended use of proceeds from the financing transactions. Forward-looking statements are frequently characterized by words such as "plan", "continue", "expect", "project", "intend", "believe", "anticipate", "estimate", "may", "will", "potential", "proposed" and other similar words, or statements that certain events or conditions "may" or "will" occur. These statements are only predictions. Various assumptions were used in drawing the conclusions or making the projections contained in the forward-looking statements throughout this news release. Forward-looking statements are based on the opinions and estimates of management at the date the statements are made and are subject to a variety of risks and uncertainties and other factors that could cause actual events or results to differ materially from those projected in the forward-looking statements. Sundial is under no obligation, and expressly disclaims any intention or obligation, to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, except as expressly required by applicable law.
SOURCE Sundial Growers
For further information: Media Contact: Sophie Pilon, Corporate Communications Manager, Sundial Growers Inc., C: 1.403.815.7340, E: [email protected]