Fire & Flower enters $30 million loan with Alimentation Couche-Tard

Chicago, Dec. 13 – Fire & Flower Holdings Corp. has entered into a multi-draw loan agreement with an indirect wholly owned subsidiary of Alimentation Couche-Tard Inc., 20707031 Ontario Inc.

The loan may be drawn in three separate tranches of $10 million for a total of $30 million, according to a press release.

Interest will be 8% per year, payable quarterly.

The loan matures on Oct. 1, 2022.

Fire & Flower may prepay the loan with funds received upon the exercise of series B warrants held by Alimentation Couche-Tard, which are exercisable starting Jan. 1, 2022 until Sept. 30, 2022.

Proceeds will be used by Fire & Flower to further develop its consumer digital platform as well as for general corporate purposes.

Alimentation Couche-Tard holds more than 10% of the outstanding voting securities of the company. This makes the loan a related-party transaction.

Edmonton, Alta.-based Fire & Flower is a cannabis retailer.

Alimentation Couche-Tard owns Circle K convenience stores.

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