The Green Organic Dutchman Secures Additional $4 Million Increase To Term Portion Of Credit Facility

The Green Organic Dutchman Holdings Ltd. TGODF TGOD has agreed to amend the terms of the amended and restated credit agreement dated September 29, 2021, as amended, between The Green Organic Dutchman Ltd., a wholly-owned subsidiary of TGOD, and its Canadian lender.

The agent and the borrower have agreed to enter into the third amendment to the credit agreement to, among other things:

  • Increase the term portion of the credit facility by $4 million to $24 million.

  • Amend the EBITDA financial covenant to take effect June 30, 2022.

  • Remove the required $6 million prepayment via funds raised by public issuance of equity securities in the company.

  • Remove the required $4 million prepayment via funds raised by the sale of HemPoland Sp. Z o.o.

  • Introduce certain prepayment fees in the combined amount of 2% of any prepayments; subject to the satisfaction of the various conditions set out therein.

All other terms of the credit facility will remain the same as before, including the maturity date of June 30, 2023.

"As we continue to grow our market share in the Canadian retail cannabis market, we are seeing opportunities to accelerate our revenue growth profile," stated Sean Bovingdon, CEO of TGOD. "Having immediate access to an additional $4 million in the term facility will allow us the flexibility to explore potential cultivation expansion in B.C. and Quebec and meet consumer demand for TGOD, Highly Dutch and Cruuzy products across the country. Additionally, the relaxation of covenants provides us the ability to hit profitability while maximizing shareholder value." added Bovingdon.

Photo by CRYSTALWEED cannabis on Unsplash

Related News

Green Organic Dutchman Launches 4/20 Hotline: Cannabis Experts On Hand To Answer All Your Questions

The Green Organic Dutchman Announces Stock Option And RSU Grants

The Green Organic Dutchman 2021 Revenue Grew 149% To $31.36M
 

Posted In: HemPoland Sp. Z o.o.Sean BovingdonThe Green Organic Dutchman LtdCannabisNewsPenny StocksMarkets

Ad Disclosure: The rate information is obtained by Bankrate from the listed institutions. Bankrate cannot guaranty the accuracy or availability of any rates shown above. Institutions may have different rates on their own websites than those posted on Bankrate.com. The listings that appear on this page are from companies from which this website receives compensation, which may impact how, where, and in what order products appear. This table does not include all companies or all available products.

All rates are subject to change without notice and may vary depending on location. These quotes are from banks, thrifts, and credit unions, some of whom have paid for a link to their own Web site where you can find additional information. Those with a paid link are our Advertisers. Those without a paid link are listings we obtain to improve the consumer shopping experience and are not Advertisers. To receive the Bankrate.com rate from an Advertiser, please identify yourself as a Bankrate customer. Bank and thrift deposits are insured by the Federal Deposit Insurance Corp. Credit union deposits are insured by the National Credit Union Administration.

Consumer Satisfaction: Bankrate attempts to verify the accuracy and availability of its Advertisers' terms through its quality assurance process and requires Advertisers to agree to our Terms and Conditions and to adhere to our Quality Control Program. If you believe that you have received an inaccurate quote or are otherwise not satisfied with the services provided to you by the institution you choose, please click here.

Rate collection and criteria: Click here for more information on rate collection and criteria.