Yikes!!! from bad to worse....That explains a lot and have been wondering when something like this would happen. Link to news release below. I highlighted the important parts. But damn.....that pretty much removes the last life line any Hexo s/h had and is more or less the last nail in the proverbial coffin. RIP HEXO.
- reduce the minimum liquidity interim covenant and closing condition from USD$100,000,000 to CAD$70,000,000 with such amount to be determined after giving effect to a release of all conditions in any blocked accounts and restricted cash of the Company and its subsidiaries and including net cash proceeds expected to be received from the Company's captive D&O insurance policy;
- extend the Outside Date (as defined in the Transaction Agreement) from July 1, 2022 to August 1, 2022 and to extend the date past which the Outside Date cannot be extended to November 30, 2022;
- extend the date by which the Company must use best efforts to obtain shareholder approval from June 15, 2022 to July 15, 2022;
- reduce the Amendment Share Price (as defined in the Transaction Agreement) from USD$0.54 to CAD$0.40;
- amend the condition regarding Tilray's right to appoint nominees and an observer to the Company's board of directors such that Tilray will be entitled to appoint two directors and one observer to the Company's board of directors;
- amend and restate the Purchased Note (as defined in the Transaction Agreement) to reflect a reduction in Tilray Brands' Conversion Price (as defined in the Purchased Note) from CAD$0.85 to CAD$0.40; and
- amend and restate the Assignment and Assumption Agreement (as defined in the Transaction Agreement) to reflect certain changes to the purchase price and consideration (as between Tilray Brands and HTI).
https://ca.finance.yahoo.com/news/hexo-enters-amending-agreements-transaction-120900828.html
GLTA