- THC Global (THC) has entered a binding agreement with Mitchell Asset Management for a $4 million debt facility
- The company can start using the money right away, but must repay it by no later than October 31 2021
- According to CEO Ken Charteris, the money will be instrumental in the scale-up of THC Global’s medicinal cannabis products
- The company is now continuing with production of its medicinal cannabis products at its Southport Facility
- THC Global is steady on the market today and shares are trading for 32 cents each
THC Global (THC) has entered a binding agreement with Mitchell Asset Management for a $4 million debt facility.
Mitchell Asset Management is a licenced AFSL (Australian Financial Services Licence) holder from ASIC (Australian Securities and Investments Commission).
It provides companies with loans to help them expand their products and services to manage cashflow, assist with growth, and preserve equity.
THC Global can start using the money right away but must repay it by October 31 2021, or earlier if the company chooses.
“Taking advantage of our strong balance sheet, we’ve agreed to a $4 million debt facility, secured against our Southport Manufacturing Facility,” CEO Ken Charteris commented.
“By choosing to raise further funding debt, we’ve been able to boost the company’s cash balance without dilutionary equity capital raisings in current market conditions,” he said.
“Access to this additional capital will support our scale-up of commercial medicinal cannabis medicines production as we target supply to over 6000 Australian patients through 2020 in addition to further developing our export pathways,” he added.
THC Global is continuing with production of its medicinal cannabis at its Southport Facility.
The first fully Australian produced Canndeo branded medicines are expected to be available for patient prescription from May 20.
Canndeo is a subsidiary of THC Global and was created to supply high quality imported medicinal cannabis into Australia.
THC Global is steady on the market today and shares are trading for 32 cents each at 1:16 pm AEST.