Greenrose Acquisition in an 8-K filing said it intends to enter a PIPE financing agreement for an unspecified number of unregistered securities. The purpose of the PIPE is to ensure that Greenrose has sufficient funds to complete its De-SPAC transaction, as well as to provide working capital.
The SPAC in March announced definitive agreements to acquire four cannabis companies: Shango Holdings, Futureworks, (d/b/a The Health Center), Theraplant and True Harvest.
Terms call for Greenrose to acquire the companies for approximately $210 million, consisting of $170 million in cash, $15 million in stock and $25 million in debt.
Greenrose raised $150 million in a Februrary 2020 IPO.
The SPAC in the filing also included an investor presentation on its pending acquisitions. Read more.
