Standard Wellness today announced the closing of a $14 million senior secured credit facility with Advanced Flower Capital Inc.
This financing will be used to refinance existing debt, including the full repayment of the company's debt facility with Focus Growth Capital Partners and early repayment of the seller note with Columbia Care (incurred in conjunction with the acquisition of the Cannabist dispensary in Springville, Utah), and to fully fund the acquisition of a dispensary license in St. Louis, Missouri. The Missouri acquisition is subject to regulatory approval.
"We are thrilled to partner with AFC on this important financing. AFC has done an exceptional job of upgrading its borrowers, and we'd like to think we fit into that portfolio well," said Jared Maloof, Chief Executive Officer at Standard Wellness. "This credit facility allows us to streamline our debt structure, eliminate legacy obligations, and invest in strategic acquisitions, including a new dispensary license in Saint Louis, a key component of the company's long-term strategy. This transaction strengthens our balance sheet and provides the capital necessary to execute our growth strategy and expand our footprint in key markets."
"AFC Gamma is pleased to support Standard Wellness in their continued growth and expansion," said Dan Neville, Chief Executive Officer at AFC Gamma. "Standard Wellness has demonstrated a strong track record of operational excellence and strategic execution. We are confident that this credit facility will enable them to achieve their growth objectives and further solidify their position as a leader in the cannabis industry."
"The repayment of the Focus Growth debt and the early retirement of the Columbia Care note reflect Standard Wellness's proactive approach to managing its financial obligations and optimizing its capital structure," said Kyle Ciccarello, Chief Financial Officer of Standard Wellness.
