Canopy Growth completes conversions of $100 million of convertibles

By Mary-Katherine Stinson

Lexington, Ky., July 3 – Canopy Growth Corp. announced it completed the conversions of $100 million of senior convertible debentures sold to an institutional investor in February, according to a press release.

The company detailed balance sheet actions undertaken to strengthen the financial position of the company, including:

• Equitization of $263 million of the 4.25% senior notes due in July 2023;

• $188 million paydown of the company’s senior secured term loan at $0.93 per dollar of debt;

• Refinancing of $100 million of the 4.25% notes due in July 2023 held by Greenstar Canada Investment LP to extend the maturity to Dec. 31, 2024; and

• Generation of $81 million in cash from the disposition of five facilities.

The company stated it is also undertaking a review of additional strategic options to further improve liquidity and minimize cash burn.

Canopy Growth is a Smiths Falls, Ont.-based cannabis company.

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