Acreage secures three-year loan, pays back at short notice


NEW YORK, September 29, 2020 (GLOBE NEWSWIRE) – Acreage Holdings, Inc. (“Acreage”) (CSE: ACRG.AU, ACRG.BU), (OTC: ACRHF, ACRDF) announced today that it has entered into a financing transaction with an institutional lender for a 33 million-secured convertible bond worth 11 million on the loan is unsecured, has a term of three years and pays 7.5% interest annually.

“Access to low-cost capital has always been at the core of our strategy, even in a very difficult capital market environment for cannabis,” said Bill Van Faasen, Acreage’s interim CEO. “The repayment of the potentially dilutive, short-term convertible bonds and the additional injection of liquidity will strengthen our balance sheet and enable us to continue to meet our shareholder obligations and accelerate our path to profitability.”


Acreage, headquartered in New York City, is a vertically integrated, multistate operator of cannabis licenses and facilities in the United States. Acreage is dedicated to building and scaling operations to create a seamless, consumer-centric, branded cannabis experience. Acreage debuted in 2018 with its national retail store “The Botanist” and its award-winning consumer brands “The Botanist and Live Resin Project” in 2019.

On June 27, 2019, Acreage implemented an agreement under Section 288 of the Business Corporations Act (British Columbia) with Canopy Growth Corporation (“Canopy Growth”), which was subsequently amended on September 23, 2020 (the “Amended Agreement”) . . Under the amended agreement, upon entry into (or waiver by Canopy Growth) any changes in federal law in the United States to permit the general cultivation, distribution, and possession of marijuana (as defined in applicable law) or the regulation of such activities Under United States federal law (the “Triggering Event”), Canopy Growth will acquire all issued and outstanding Class E Subordinated Voting Shares (the “Fixed Shares”) on the basis of .3048 one, subject to the satisfaction or waiver of certain closing conditions Canopy Growth share per “Fixed Share” (after the automatic conversion of Class F shares with multiple voting rights and subject to the adjustment “under the terms of the Acreage Agreement” and Canopy Growth on April 18, 2019, as amended on May 15, 2019 and on September 23, 2020.)

In addition, Canopy Growth has an option, which Canopy Growth may exercise at its discretion, to acquire all issued and outstanding Class D Subordinated Voting Shares (the “Floating Shares”) at the time Canopy Growth acquires the Fixed Shares, z Cash or Canopy Growth stocks, as Canopy Growth may determine, at a price per Floating Share based on the volume-weighted 30-day volume-weighted average trading price of the floating stocks on the CSE relative to the trading price of the Canopy Growth stocks. is based on the time the Triggering Event occurs or is waived, subject to a minimum price of $ 6.41 per Floating Share.

For more information about the amended Agreement, please refer to Acreage’s Proxy Statement and Management Information Circular dated August 17, 2020 (the “Circular”) and Acreage and Canopy Growth respective information circular dated May 17, 2019, which are available Filed on the respective profiles of Acreage and Canopy Growth on SEDAR at and with the SEC on the EDGAR website at For more information about Canopy Growth, please visit Canopy Growth’s profile on SEDAR at


This press release and each of the documents referenced herein contains “forward-looking information” and “forward-looking statements” within the meaning of applicable Canadian and US securities laws. All statements contained herein, other than statements of historical fact, are forward-looking information, including, for the sake of security, statements regarding the amended agreement, including the likelihood of its conclusion, occurrence or waiver of the triggering event, performance or waiver Closing terms set out in the Agreement and other statements relating to the proposed transactions with Canopy Growth. Often, but not always, forward-looking statements and information can be identified by words such as “plan”, “expected” or “expected”, “is expected”, “estimates”, “intends” “,” anticipates “or” does not expect, “believes,” or variations of such words and phrases, or indicates that certain acts, events or results “may,” “might,” “would,” “may,” or “are” taken , occur or be achieved.

Forward-looking statements or information involve known and unknown risks, uncertainties, and other factors that could cause the actual results, performance or accomplishments of Acreage or its subsidiaries to differ materially from future results, performance or achievements express or implied by the forward-looking statements or information in this press release. Risks, uncertainties and other factors relating to forward-looking information could cause actual events, results, performance, prospects and opportunities to differ materially from those expressed or implied in such forward-looking information, including, but not limited to, those disclosed Risks in Circular, Acreage Management Information Circular dated May 17, 2019, filed May 23, 2019, Acreage’s Annual Report on Form 10-K for the year31. Year ended December 29, 2020, dated May 29, 2020, and the amendment thereto on Form 10-K / A dated August 14, 2020 and Acreage’s other public filings, each filed with the SEC on the EDGAR website at www.sec. gov and filed with “Canadian Securities Regulators” and are available on Acreage’s Issuer Profile on SEDAR at While Acreage has attempted to identify important factors that could cause actual results to differ materially from those contained in any forward-looking information, there may be other factors that could cause results not to be as expected, estimated or intended.

While Acreage believes that the assumptions and factors used in preparing the forward-looking information or forward-looking statements in this press release are appropriate, undue reliance should be placed on such information and no assurance can be given that such events occur in the specified time periods or at all. The forward-looking information and forward-looking statements in this press release are made as of the date of this press release and Acreage undertakes no obligation to publicly update such forward-looking information or forward-looking information to reflect new information, subsequent events or otherwise, unless otherwise required by applicable securities laws is required.

Neither the Canadian Securities Exchange nor its regulator has reviewed and accepts no responsibility for the “appropriateness or accuracy of the contents of this press release”


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