Valens enters into $ 40 million secured debt facility with CIBC and ATB – New Cannabis Ventures

Valens Company Closes $ 40 Million Credit Facility

KELOWNA, BC, June 1, 2020 / PRNewswire / –Valens GroWorks Corp. (TSX: VLNS) (OTCQX: VLNCF) (the “Company” or “The Valens Company”), a global leader in the end-to-end development and manufacture of innovative cannabinoid products, today announced it has concluded a syndicated credit facility (the “Credit Facility”) with Canadian Imperial Bank of Commerce (“CIBC”) as principal arranger and administrative agent, and ATB Financial (“ATB”) as co-principal arranger (together, the “lenders”). Under the terms of the credit facility, the lenders will provide The Valens Company with up to CDN $ 40 million in secured debt financing.

The credit facility consists of a C $ 20 million secured term loan and a C $ 20 million secured revolving loan, with an accordion feature that could allow The Valens Company to increase commitments totals up to an additional C $ 10 million. The credit facility has a term of three years and is secured by a senior charge on substantially all of the assets of the Company.

The proceeds of the credit facility will further strengthen the Company’s balance sheet, enabling the continued expansion of its operations and the execution of its business strategy, including access to new domestic and global opportunities to increase value. shareholder.

Although we are already well capitalized, the credit facility increases our financial flexibility and reduces our overall weighted average cost of capital.

Tyler Robson, CEO of The Valens Company

With our improved balance sheet, we are well positioned to continue to expand our portfolio of innovative products, develop our bespoke manufacturing platform, be opportunistic in a consolidating market and maximize capital allocation to generate the best return. on invested capital for our shareholders.

Additional details of the credit facility can be found in the Company’s documents, which will be filed under the Company’s profile on SEDAR at

About the company Valens

The Valens Company is a global leader in the end-to-end development and manufacture of innovative cannabinoid products. The Company strives to be the partner of choice for leading Canadian and international cannabis brands by providing the best and exclusive services in their class, including the extraction of CO2, ethanol, hydrocarbons, solvent-free and terpenes, analytical testing, product formulation and development, and manufacturing customization. Valens is the largest third-party extraction company in Canada with an annual capacity of 425,000 kg of dried cannabis and hemp biomass at our purpose-built plant in Kelowna, British Columbia, which is on its way to becoming best practice. of the European Union (EU). Compliant (BPF). Valens currently offers a wide range of product formats including tinctures, two-part capsules, soft gels, oral sprays and vape pens as well as beverages, concentrates, topicals, edibles, injectables, natural health products and has a strong portfolio of next-generation products in development for a future release. Finally, the company’s wholly-owned subsidiary, Valens Labs, is an ISO 17025 accredited cannabis testing laboratory by Health Canada that provides state-of-the-art analytical services and has partnered with Thermo Fisher Scientific to develop a testing center. excellence in plant sciences. For more information, please visit The Company’s investor deck can be found specifically at

Original press release

For factual information about The Valens Company, see the Investor dashboard.

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Posted by NCV Newswire

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