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Golden Leaf Announces Sale of Aurora Property and Repayment of Debentures
Golden Leaf Announces Sale of Aurora Property and Repayment of Debentures.
About this update from Chalice Brands Ltd.
[{"type":"text","content":"\n\n TORONTO, Sept. 25, 2017 (GLOBE NEWSWIRE) -- Golden Leaf Holdings Ltd. (“GLH” or the “Company”) (CSE:GLH) (OTCQB:GLDFF), a leading cannabis oil solutions company built around recognized brands, today announced the completion of the sale of its property in Aurora, Oregon (the “Aurora Property”) which was intended to serve as the Company’s extraction and refinement center, for gross proceeds of $2.2 million. The Aurora Property could not be used for the Company’s intended purpose after the Marion County Commissioners “opted out” of allowing cannabis production facilities in that county, which is where the Aurora Property was located.  The Aurora Property was previously held by the Company’s wholly-owned subsidiary, Greenpoint Real Estate LLC.\n In addition, the Company is pleased to announce that it has entered into certain convertible note repayment agreements (the “Repayment Agreements”) relating to outstanding 12% secured convertible debentures of the Company (“Aurora Debentures”) issued in September 2015 in connection with the purchase of the Aurora Property. Under the Repayment Agreements, the Company and the holders of the Aurora Debentures (the “Secured Parties”) agreed to settle the amounts payable to the Secured Parties under the Aurora Debentures by accepting from the Company a combination of cash and a total of 7,400,044 common shares of the Company (“Common Shares”) on a “shares for debt” basis, as full repayment and satisfaction of all amounts due to the Secured Parties. The aggregate debt to be repaid under the Repayment Agreements is C$1,321,850. Further, the Company has agreed to issue a total of 300,000 common - share purchase warrants to certain Secured Parties, as an incentive to accept partial payment for the Aurora Debentures  in Common Shares. Mr. William Simpson, Chief Executive Officer of Golden Leaf, commented, “We are pleased to complete the sale of the Aurora Property, which is a non-core asset to the Company, as we consolidate our corporate operations in the Portland, Oregon area. This transaction represents a positive step forward for the Company, as we expect enhanced liquidity and a strengthened balance sheet to support the Company’s execution on its ...