After recently expanding into providing services for new CBD companies in the United States, KushCo Holdings Inc (OTCQX: KSHB) just closed a fundraising deal to keep the capital flowing for additional growth and acquisitions.
Today the company announced the closing of a five-year credit facility worth up to $50 million from private firm Monroe Capital LLC.
The terms of the financing deal see KushCo gaining access to an immediate revolving line of credit in the amount of $35 million. The remaining $15 million will become available in a second tranche subject to borrowing availability from Monroe and adherence of the terms of the deal.
This new round of fund raising arrives after the company launched an internal retail CBD services division and formed an external partnership with C.A. Fortune to assist clients with entering the CBD market at scale.
KushCo CEO Nick Kovacevich had this to say about the new fundraising efforts announced this morning:
In addition to closing on the multi-million credit facility, KushCo also just saw a familiar name from the U.S. cannabis industry joining the company’s advisory board.
Former Green Thumb Industries (CSE:GTII; OTCQX: GTBIF) Chief Executive Officer Pete Kadens is now serving on that board, advising on future acquisitions and corporate growth plans. Kadens left his role with Green Thumb Industries last summer and currently runs The Kadens Family Foundation charity organization.
He joins the KushCo advisory board this week which also includes Fast Money co-host Tim Seymour as well as investor Danny Moses, who is known for his role in the events that would be fictionalized in the movie The Big Short.
In other recent news, KushCo is looking to move up from its current position on the OTC Market to list on NASDAQ. The company filed to make the market graduation last month, and is currently awaiting a decision on that filing.