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Green Thumb Industries Announces Brand Transactions with Agrify
Globenewswireยท2025-08-27 20:15

Core Viewpoint - Green Thumb Industries Inc. has entered into significant transactions with Agrify Corporation, including the sale of certain consumer packaged goods brands, a licensing agreement, and a loan arrangement, indicating a strategic move to enhance its market position in the cannabis industry [1][2][5]. Group 1: Transactions Overview - The company sold all equity interests in VCP IP Holdings, LLC to Agrify for a cash consideration of US$50 million, which includes brands such as RYTHM and Beboe [2]. - A Trademark and Recipe License Agreement was established, allowing Green Thumb to continue using certain intellectual property related to the brands, with a monthly license fee based on sales [3]. - The company extended a loan of US$45 million to Agrify, secured by a convertible note with a 10% annual interest rate, maturing on February 25, 2027 [5][6]. Group 2: Financial Details - The convertible note issued to Agrify will accrue interest payable in cash, shares, or pre-funded warrants, with a conversion price set at $29.475 per share [7]. - The note imposes customary covenants on Agrify, and in case of default, the interest rate will increase to 14% [6]. Group 3: Company Background - Green Thumb Industries is a leading national cannabis consumer packaged goods company, operating 20 manufacturing facilities and 108 retail stores across 14 U.S. markets, employing approximately 4,800 people [8].