Verano Announces Agreement to Upsize Revolving Credit Facility Commitment to $100,000,000 and Extend Maturity Date

Executive Summary

• Verano Holdings amended its $75 M revolving credit facility, increasing the commitment to $100 M and extending maturity to February 28 2029.
• No additional collateral was required; the facility remains secured by existing real estate.
• The amendment provides an extra $50 M of undrawn capacity, a floating rate of SOFR + 6% (floor 4%), and flexible repayment terms.

Key Details

• Facility Increase: Commitment raised from $75 M to $100 M (+$25 M).
• Maturity Extension: New maturity date February 28 2029 (previously September 29 2028).
• Collateral: No new collateral pledged; existing real‑estate security remains in place.
• Drawn Amounts: To date, $50 M has been drawn, leaving up to $50 M available subject to conditions.
• Interest Rate: Floating annual rate equal to SOFR + 6% (subject to a 4% floor).
• Amortization: No required amortization payments.
• Repayment Terms: Repayable in $2.5 M increments at any time; early repayment before the six‑month anniversary incurs an interest‑only make‑whole premium.
• Collateral Release Condition: Real estate may be proportionally released provided outstanding principal does not exceed 80% of the appraised value of remaining pledged real estate.
• Strategic Rationale: CEO George Archos cited the amendment as a step to strengthen the balance sheet, increase flexibility for capital deployment, and support ongoing debt‑refinancing discussions.

Notable Quotes

“Building on our ongoing strategy to strengthen our balance sheet, we’re pleased to upsize our borrowing availability and extend the maturity of our existing revolving credit facility,” – George Archos, CEO, Verano Holdings Corp.

“We are pleased to support Verano’s growth and the optimization of its balance sheet with innovative solutions.” – Peter Sack, Managing Partner, Chicago Atlantic.