Canopy Rivers (TSX: RIV) (OTC: CNPOF), a venture capital
firm specializing in cannabis, this morning announced that Canopy Rivers
Corporation, a wholly-owned subsidiary of the company, has amended the terms of
its recent US$10 million loan to TerrAscend Canada Inc., a wholly‑owned
subsidiary of TerrAscend Corp. (CSE: TER) (OTCQX: TRSSF). The loan, announced
October 2, 2019, included the purchase of 13,243 units, each of which was
comprised of: (i) one unsecured convertible debenture of TerrAscend Canada with
a principal amount of C$1,000 (the “debentures”), and (ii) 25.2 common share
purchase warrants to purchase common shares of TerrAscend with an exercise
price of C$6.49. Following the announcement of the loan and following
discussions with the Toronto Stock Exchange (the “TSX”), Canopy Rivers,
TerrAscend Canada, and TerrAscend decided to amend certain terms of the loan.
Pursuant to the amended terms, the debentures have been converted into a
C$13,243,000 loan agreement between Canopy Rivers and TerrAscend Canada.
Interest on the principal amount advanced accrues at a rate of 6% per annum and
all interest payments made are payable in cash by TerrAscend Canada. The loan
is not convertible and is not guaranteed by TerrAscend. The principal amount
matures on October 2, 2024 or an earlier date in accordance with the terms of
the loan agreement. Additionally, TerrAscend has issued Canopy Rivers 2,225,714
common share purchase warrants that are exercisable upon the occurrence of
certain triggering events, including (i) the amendment or removal of federal
laws in the United States enabling the legal cultivation, distribution and
possession of marijuana; and (ii) the stock exchange(s) on which securities of
Canopy Rivers or its affiliates are listed permit the investment by Canopy
Rivers in an entity that participates in the cultivation, distribution and
possession of marijuana in the United States. The exercise price for the warrants,
which expire on October 2, 2024, is C$5.95 each. The original warrants remain
issued and outstanding.
To view the full press release, visit http://ibn.fm/ywnLn
About Canopy Rivers Inc.
Canopy Rivers is a venture capital firm specializing in
cannabis. Its unique investment and operating platform is structured to pursue
investment opportunities in the emerging global cannabis sector. Canopy Rivers
identifies strategic counterparties seeking financial and/or operating support.
Canopy Rivers has developed an investment ecosystem of complementary cannabis
operating companies that represent various segments of the value chain across
the emerging cannabis sector. As the portfolio continues to develop, constituents
will be provided with opportunities to work with Canopy Growth Corporation
(TSX: WEED, NYSE: CGC) and collaborate among themselves, which Canopy Rivers
believes will maximize value for its shareholders and foster an environment of
innovation, synergy and value creation for the entire ecosystem. For more
information, visit the company’s website at www.CanopyRivers.com.
NOTE TO INVESTORS: The latest news and updates
relating to CNPOF are available in the company’s newsroom at http://ibn.fm/CNPOF
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