representative work

Canopy Growth Enters US$750 Million Credit Facility


On March 18, 2021, Canopy Growth Corporation entered into a credit agreement with, among others, funds advised by King Street Capital Management, L.P. as the anchor lender, providing for a senior secured term loan facility in the aggregate principal amount of US$750 million. Canopy Growth also has the ability to obtain up to an additional US$500 million pursuant to the credit agreement at some point in the future, if needed.

The term loan facility has no amortization payments and matures on March 18, 2026. The gross proceeds, net of fees and expenses, will be used by Canopy Growth for working capital and general corporate purposes, including without limitation, growth investments, acquisitions, capital expenditures and strategic initiatives. The facility has a coupon of LIBOR plus 8.50% and is subject to a LIBOR floor of 1.00%.

Cassels acted as Canadian counsel for Canopy Growth.