Marijuana SPAC Greenrose secures up to $103 million from Canadian firm

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Marijuana industry special purpose acquisition company (SPAC) Greenrose Acquisition Corp. said it has reached agreements for up to $103 million in funding from SunStream Bancorp.

“SunStream’s investment comprises $78 million in a multi-tranche senior secured loan facility and $25 million in unsecured convertible notes,” Amityville, New York-based Greenrose said in a Thursday news release.

Alberta-based SunStream is a joint venture between two Canadian businesses, cannabis company Sundial Growers and Canadian investment management firm SAF Group.

The new financing is expected to leave Greenrose with as much as $276 million “to fund its growth strategy,” the company said.

Greenrose might also raise more capital via a private placement of unsecured convertible notes and common shares, the company added.

In March, Greenrose announced a $210 million deal to acquire four marijuana companies operating in multiple states, after which it will be renamed The Greenrose Holding Co.

“The closing of the SunStream financing is expected to occur simultaneously with Greenrose’s anticipated closing of its de-SPAC business combination,” Greenrose noted.

Greenrose recently delisted from the Nasdaq Capital Market, relisting its shares on over-the-counter markets as GNRS.