Vivo Cannabis repurchases C$10 million 6% convertibles due 2021

By Rebecca Melvin

New York, April 3 – Vivo Cannabis Inc. has redeemed C$10 million principal amount of its outstanding 6% unsecured convertible debentures due 2021, according to a company news release.

The purchase price of C$9.3 million plus accrued and unpaid interest represented a 7% discount to the face value of the debentures.

About C$24.5 million of the issue due Feb. 28, 2021 remains outstanding.

The company intends to amend the debenture indenture to provide remaining holders a pro rata right of repurchase, at the option of each remaining holder, on the same terms until April 30. If all remaining holders exercise this right, termination of future interest on the issue would result in savings of between about C$1.25 million and C$1.43 million for the company.

The cannabis products and services company is based in Napanee, Ontario.

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