iAnthus closes cannabis recapitalization deal with $25 million more of financing

Just Released! Get realistic market forecasts, state-by-state insights and benchmarks with the new 2024 MJBiz Factbook member program, now with quarterly updates. Make informed decisions.

Cannabis multistate operator iAnthus Capital Holdings closed a previously announced restructuring and recapitalization deal, then disclosed $25 million in new financing via senior secured notes.

New York- and Toronto-based iAnthus originally entered the restructuring and recapitalization deal in 2020 after defaulting on interest payments and receiving a demand for repayment on its secured debt.

Under the deal, according to a Friday news release, iAnthus issued more than 6 billion shares to holders of the company’s secured and unsecured convertible debentures.

The company said its shares might be consolidated in the future.

Some debtholders acquired $25 million of new 8% senior secured debentures, due June 2027.

2024 MJBiz Factbook – now available!  

Exclusive industry data and analysis to help you make informed business decisions and avoid costly missteps. All the facts, none of the hype. 

Featured inside: 

  • Financial forecasts + capital investment trends 
  • 200+ pages and 49 charts highlighting key data figures and sales trends 
  • State-by-state guide to regulations, taxes & market opportunities
  • Monthly and quarterly updates, with new data & insights
  • And more!

Proceeds from the notes will be used “for working capital and general corporate purposes, and for costs and expenses relating to the closing of the recapitalization transaction,” iAnthus said in the release.

Shares of iAnthus trade as IAN on the Canadian Securities Exchange.