Written by: Anonymous
So the original deal for High Times and Harvest Health & Recreation was $80 million for up to 13 stores with $1 million paid on signing + $4 million due June 9th and a $7.5 million one year note and then the balance of $67.5 million in preferred stock.
Pending the 1-U and details it looks like the deal is up to 10 stores and only $1.5 million in cash (so I guess Adam Levin was able to make the $500k payment and would also have had to pay ExWorks $500k), a $4.5 million note for one year ad $61.5 million in preferred stock.
Bloomberg Press Release: High Times announces entry into revised purchase agreement with Harvest Health & Recreation Inc.
You have to wonder if the stores being given up are really that good to have a min of cash paid for them. I bet they are the losing stores that will require cash support to run. Harvest is keeping the stores in Venice, Palm Springs, Napa, and Grover Beach (San Luis Obispo) where I would say are all the prime locations to be.
Yahoo Finance Press Release: Harvest Announces Amended Terms for Planned Divestment of Select California Retail Assets to High Times
Of course today was when they’re supposed to have released their 1-A, but we know that will not happen for at least 3 more months. They have not even contacted the firm.
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