Curaleaf Holdings has announced an updated credit agreement with Needham Bank. The deal increases Curaleaf's revolving credit facility from $40 million to $100 million and extends its term for up to five years.
Boris Jordan, Curaleaf's Chairman and CEO, said "I'm extremely proud of our team for making this $100 million facility possible. The expanded credit line gives us more flexibility to carry out our growth plans and shows Needham Bank's confidence in our long-term vision."
© Curaleaf
Ed Kremer, the company's CFO, added "This is a first-of-its-kind deal of this size in the cannabis industry. It reflects strong support from our lenders and marks progress toward greater access to capital markets. With this stronger financial position, we'll continue driving growth, improving operations, and keeping flexibility as the industry evolves."
The updated credit facility is secured and revolving, with an initial one-year term and an interest rate of 7.99%. If extended up to five years, the rate will increase to 8.99% if Curaleaf refinances its senior notes due in 2026.
Curaleaf plans to use the facility to repay at least $50 million of higher-interest acquisition-related debt and to support working capital needs.
For more information:
Curaleaf
[email protected]
curaleaf.com
