Cresco closes $325-million (U.S.) term loan refinancing

Mr. T.J. Cole reports CRESCO LABS CLOSES $325 MILLION SENIOR SECURED TERM LOAN REFINANCING Cresco Labs Inc. has closed its previously announced refinancing of the company's senior secured credit facility. The new $325-million (U.S.) senior secured term loan bears an interest rate of 12.5 per cent per annum and matures on Aug. 13, 2030. It replaces the company's prior $360-million (U.S.) facility, reducing total debt, extending the maturity to 2030 and providing enhanced flexibility to prepay up to $125-million (U.S.) at a reduced premium. "This transaction is another milestone in our disciplined approach to capital management," said Charlie Bachtell, chief executive officer of Cresco Labs. "We have strengthened our balance sheet and removed near-term refinancing risk. With this foundation in place, we can remain focused on executing our growth strategy." Proceeds from the new facility, together with cash on hand, were used to repay in full the existing term loan. The facility contains no equity or convertible features, and includes customary financial and operational covenants. A.G.P. Canada Investments ULC and Cormark Securities Inc. acted as lead financial advisers and lead arrangers on the transaction. The lead lenders were advised by Paul Hastings LLP. About Cresco Labs Inc. Cresco Labs' mission is to normalize and professionalize the cannabis industry through a CPG (consumer packaged goods) approach to building national brands and a customer-focused retail experience, while acting as a steward for the industry on legislative and regulatory-focused initiatives. As a leader in cultivation, production and branded product distribution, the company is leveraging its scale and agility to grow its portfolio of brands that include Cresco, High Supply, FloraCal, Good News, Wonder Wellness Co., Mindy's and Remedi, on a national level. The company also operates highly productive dispensaries nationally under the Sunnyside brand that focus on building patient and consumer trust, and delivering continuing education and convenience in a wonderfully traditional retail experience. Through year-round policy, community outreach and SEED (social equity and educational development) initiative efforts, Cresco Labs embraces the responsibility to support communities through authentic engagement, economic opportunity, investment, work force development and legislative initiatives designed to create the most responsible, respectable and robust cannabis industry possible. We seek Safe Harbor.