New York Cannabis Giant Provides Cash For Note Redemption: Here's What You Need To Know
Portfolio Pulse from Jelena Martinovic
Cannabist Company Holdings Inc. (OTCQX:CBSTF) has announced a partial redemption of its outstanding 13% senior secured notes due May 14, 2024. The company will redeem $25 million of the total $38.2 million principal amount on Oct. 23, 2023. The redemption will be paid in cash from funds on hand, following the closing of a private placement for aggregate gross proceeds of roughly $25 million. The company's shares traded 0.9167% lower at $0.7728 per share late Monday morning.
October 09, 2023 | 4:23 pm
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Cannabist Company Holdings Inc. is redeeming $25 million of its outstanding notes, which will be paid in cash from funds on hand. This follows a private placement that raised roughly $25 million.
The redemption of a portion of its outstanding notes indicates that Cannabist Company Holdings Inc. is managing its debt effectively. However, the impact on the stock price is uncertain as the company's shares traded lower following the announcement. The redemption will be funded by a recent private placement, which could indicate a strong financial position.
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