Canopy Growth Corporation Announces Financing To Further Strengthen Balance Sheet Including Approximately $50M Of New Gross Proceeds
Portfolio Pulse from Benzinga Newsdesk
Canopy Growth Corporation (CGC) announced a financing deal expected to bring in US$50 million in gross proceeds and the exchange of approximately C$27.5 million of existing debt for a new convertible debenture, aiming to strengthen its balance sheet. The agreement with an institutional investor involves issuing a senior unsecured convertible debenture maturing five years from the closing date, set for May 2, 2024.
May 03, 2024 | 11:37 am
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CGC's new financing deal is expected to bring in US$50 million in gross proceeds and convert C$27.5 million of debt into a new convertible debenture, aiming to improve its financial health.
The financing deal is directly related to CGC and is significant for its financial restructuring. The infusion of $50 million in gross proceeds and the conversion of existing debt into a new convertible debenture are likely to be viewed positively by investors, as these moves are aimed at strengthening the company's balance sheet. This could lead to increased investor confidence in CGC's financial stability and growth prospects, potentially driving up its stock price in the short term.
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