Askyourself why they did this? Expecting them to fail? Nope !! Bring on Q1 :)
AUXLY ANNOUNCES COMPLETION OF CONVERSION OF OVER $123 MILLION OF PRINCIPAL AND INTEREST UNDER IMPERIAL DEBENTURE
PR Newswire
TORONTO, April 1, 2024
-- Imperial Brands plc converts over $123 million in total debt to shares resulting in 19.8% ownership
TORONTO, April 1, 2024 /PRNewswire/ -
Auxly Cannabis Group Inc. (TSX: XLY) (OTCQB: CBWTF) ("Auxly" or the "Company") a leading consumer packaged goods company in the cannabis products market, is pleased to announce the
completion of the conversion of $123.4 million of principal and accrued interest under the 4.00% unsecured convertible debenture of the Company due September 25, 2026 (the "Debenture") and the amendment to the amended and restated investor rights agreement dated July 6, 2021 (the "Investor Rights Agreement") with 1213509 B.C. Ltd., a wholly-owned subsidiary of Imperial Brands plc ("Imperial"), pursuant to the terms previously announced on March 25, 2024.
Imperial has converted (the "Conversion") (i)
$121.9 million of the principal amount outstanding under the Debenture at an exercise price of .81 for 150,433,450 common shares in the capital of the Company ("Shares"), and (ii) $1.56 million of accrued interest under the Debenture into 90,882,667 Shares at a price of .017 (the "Interest Conversion Price"), resulting in Imperial holding an equity position in the Company of approximately 19.8%.