Vertically integrated multistate marijuana operator iAnthus Capital Holdings is taking legal action against an international investor group that claimed the New York company has defaulted on a $25 million convertible debt deal.
The legal action, filed in a court in Ontario, Canada, centers around claims that iAnthus has not kept to the terms of a deal struck last year with Oasis Investments, an Austin, Texas-based group with headquarters in Hong Kong.
iAnthus strongly denies the Oasis allegations.
“We are disappointed with Oasis’ attempt to extract value at the expense of our shareholders and other stakeholders, and we will pursue any and all remedies available to us as a result of Oasis’ self-interested behavior,” iAnthus Chief Financial Officer Julius Kalcevich said in a statement.
The company, which operates marijuana stores in a number of states, including Florida, Arizona and New Mexico, trades on the Canadian Securities Exchange as IAN.
Its stock has fallen from a year high of 8.20 Canadian dollars ($6.10) to about CA$1.
For analysis and in-depth looks at the investment trends and deals driving the cannabis industry forward, sign up for our premium subscription service, Investor Intelligence.