Verano Holdings secures $75M revolving credit facility

Verano Holdings (VRNOF) announced the closing of a credit agreement agented by Chicago Atlantic Admin, with participation from a regional bank, to provide the Company a revolving credit facility of $75,000,000. Upon closing the Revolver, the Company drew $50,000,000 to pay down $50,000,000 of higher interest rate debt from its existing senior secured credit facility without incurring any prepayment penalty, with the remaining $25,000,000 being available to fund strategic initiatives. The Revolver, which is secured by selected real estate, provides Verano a range of benefits including lower cost debt, payoff and redraw flexibility, and optionality to have certain real estate released as collateral under the Revolver. Details of the Revolver are as follows: A floating annual interest rate on amounts drawn equal to SOFR1 plus 6%. No required amortization payments over the course of the Revolver. Matures on September 29, 2028, allowing for repayment at any time in US $2,500,000 increments, subject to an interest-only make-whole if repaid before the six-month anniversary of funding. The proportionate release of certain real estate upon request and so long as the outstanding principal balance under the Revolver does not exceed 60% of the appraised value of the remaining pledged real estate.