NEW YORK and TORONTO, June 16, 2021 /CNW/ – iAnthus Capital Holdings, Inc. (“iAnthus” or the “Company”) (CSE: IAN) (OTCPK: ITHUF), which owns, operates and partners with regulated cannabis operations across the United States provides an update on its recapitalization transaction (the “Recapitalization Transaction”). As previously disclosed, securityholder approval and Court approval were two of the primary conditions for closing the Recapitalization Transaction, both of which conditions have been satisfied. The closing of the Recapitalization Transaction remains subject to certain closing conditions as set forth in the Restructuring Support Agreement dated July 10, 2020 (the “RSA”).
Specifically, certain of the transactions contemplated by the Recapitalization Transaction have triggered the requirement for an approval by state-level regulators in certain U.S. states with jurisdiction over the licensed cannabis operations of entities owned, in whole or in part or controlled directly or indirectly, by iAnthus in such states.
On February 23, 2021, the Nevada Cannabis Compliance Board approved the proposed change of ownership and control of the Company’s wholly-owned subsidiary, GreenMart of Nevada NLV, LLC, contemplated by the Recapitalization Transaction. Similar state-level regulatory approvals are being sought in Florida, Massachusetts, Maryland, New York, New Jersey, and Vermont.
The Company continues to work with the Lenders and Consenting Debenture Holders (as such terms are defined in the RSA) towards obtaining the required regulatory approvals. As the Company closely monitors regulatory approval developments, the Company, the Lenders and the Consenting Debenture Holders have agreed to amend the date of ‘June 30, 2021′ to “August 31, 2021’ in the definition of “Outside Date” as that term is defined in the RSA.
In the interim, the Lenders and Consenting Debenture Holders have agreed to provide the Company with enhanced disclosure as to their ongoing discussions and correspondence with state-level regulators necessary for regulatory approvals to be granted, The parties have also