Verano closes $75M (U.S.) revolving credit line

Executive Summary

• Verano Holdings Corp. closed a $75 million revolving credit facility with Chicago Atlantic Admin LLC and a regional bank.
• The company immediately drew $50 million to retire an equal amount of higher‑interest senior secured debt, leaving $25 million available for strategic initiatives.
• The facility is secured by selected real estate, carries a floating rate of SOFR + 6% (4% floor), matures on Sept. 29 2028, and allows flexible repayments in $2.5 million increments.

Key Details

• Facility Size: $75 million revolving credit facility.
• Initial Draw: $50 million drawn at closing to pay down existing senior secured debt (no pre‑payment penalty).
• Available Capacity: Remaining $25 million available for future strategic use.
• Interest Rate: Floating rate equal to SOFR + 6% (subject to a 4% floor).
• Amortization: No required amortization payments during the term.
• Maturity: September 29, 2028; repayment permitted at any time in $2.5 million increments.
• Pre‑payment Terms: Interest‑only make‑whole if repaid before six‑month anniversary of financing.
• Collateral: Secured by selected real estate; proportionate release allowed provided outstanding balance ≤ 60% of appraised value of remaining pledged property.
• Strategic Rationale: Lower‑cost debt, flexibility to refinance higher‑interest obligations, and funding for growth initiatives.

Notable Quotes

“Closing the $75‑million revolving credit facility demonstrates our focus on fortifying the balance sheet, accessing lower‑cost debt, and leveraging our owned real estate to strengthen our foundation and position Verano to take advantage of future opportunities,” – George Archos, Founder & CEO, Verano Holdings Corp.

“Revolving credit facilities are common financial solutions outside of the cannabis industry, and Verano's revolver is what we believe to be the largest such facility among U.S. operators in the history of the industry…” – Peter Sack, Managing Partner, Chicago Atlantic.