Rumor is they had over 7 million in sales for April and they need the cash for expansion into more markets - this will help keep up with product demand.
They are selling everything they grow.
"TORONTO, May 17, 2022 /PRNewswire/ - The Green Organic Dutchman Holdings Ltd. (the "Company" or "TGOD") (CSE: TGOD) (OTC: TGODF), a sustainable global cannabis company is pleased to announce it has closed an agreement of purchase and sale, of its leasehold improvements at the Puslinch facility (the "Transaction") with the landlord (the "Landlord") for $3 million (the "Consideration"). $2 million of the Consideration will be paid to the Company in cash, and $1 million of the Consideration will settle previous loans advanced to the Company by the Landlord, including all accrued interest and transaction costs thereon. In connection with the Transaction, the Company has also agreed to an increase in rent of $25,000 a month for the remainder of the lease term on the Puslinch facility of approximately 19 years.
The Green Organic Dutchman Holdings Ltd. Logo (CNW Group/The Green Organic Dutchman Holdings Ltd.)
The Green Organic Dutchman Holdings Ltd. Logo (CNW Group/The Green Organic Dutchman Holdings Ltd.)
"TGOD is poised for substantial growth in 2022. We enjoy a great productive relationship with our Landlord and this economically sensible Transaction provides us with immediate additional working capital to fund our continued growth as we continue to focus on execution, and financial discipline," said Sean Bovingdon, CEO of TGOD." marc's comment: so this is essentially a loan with an effective rate at 3.38% (old finance guy) if you look it up (posting the link got the previous post removed) the current prime rate is 4.00% according the the wall street journal. Commercial real estate people know such things - so they clearly had no worries about extending a preferred borrower rate to TGOD.
