Item 2.01. Completion of Acquisition or Disposition of Assets.
Reference is made to that certain Credit Agreement, entered into on March 5,
2021 (the "Credit Agreement"), by and among a vertically integrated single-state
cannabis operator in Michigan, as parent and guarantor, and certain of its
subsidiaries and affiliates as borrowers and/or guarantors (collectively, with
the single-state operator in Michigan, the "Borrowers"), Chicago Atlantic Admin,
LLC, as agent (in such capacity, the "Agent"), Green Ivy Capital, LLC, as lead
arranger, Chicago Atlantic Real Estate Finance, Inc. (the "Company") as a lender
named in the Credit Agreement, and the other lenders from time to time party
thereto (collectively, the "Lenders").
On January 13, 2022, the Company entered into the First Amendment to the Credit
Agreement, which provides for the funding of certain loan commitments made
pursuant to the Borrowers' existing $100 million senior secured credit facility.
Pursuant to the First Amendment, the Lenders collectively funded $67.3 million
of the aggregate principal amount, with the Company funding approximately $16.09
million of such principal amount. Following the closing of the First Amendment,
the Company has funded an aggregate of approximately $29.2 million to the
Borrowers pursuant to the Credit Agreement. The Lenders are obligated to fund
the remaining $15 million at any time on or prior to June 30, 2022 upon the
Borrowers' request subject to the terms and conditions of the First Amendment.
The Company is not obligated to fund any portion of the remaining $15 million.
The Company's commitment under the First Amendment and the Credit Agreement is
secured by liens on substantially all assets of the Borrowers, including, in
particular, owned real estate in a single state.
Item 9.01. Financial Statements and Exhibits.
a) Financial statements of businesses or funds acquired
No financial statements are being filed with this report. Any required financial
statements in connection with the transactions described in Item 2.01 will be
filed by amendment pursuant to Item 9.01(a)(3) within 71 calendar days after the
date on which this Current Report on Form 8-K is required to be filed.
b) Pro forma financial information
No pro forma financial information is being filed with this report. Any required
pro forma financial information in connection with the transactions described in
Item 2.01 will be filed by amendment pursuant to Item 9.01(b)(2) within 71
calendar days after the date on which this Current Report on Form 8-K is
required to be filed.
2
© Edgar Online, source Glimpses