Decibel Announces Repayment of Convertible Debentures
CALGARY, ALBERTA – May 11, 2022 –Decibel Cannabis Company Inc. (the “Company” or “Decibel”) (TSX-V:DB) (OTCQB:DBCCF), a premium cannabis producer, is pleased to announce its cash repayment of its 9.5% convertible debentures, which had a maturity date of May 10, 2022 (the “Convertible Debentures”). The $12 million cash repayment represents a full payout of the Convertible Debentures, which were subject to a conversion rate of approximately 2,222 commons shares for each $1,000 of principal amount of Convertible Debentures, equal to a conversion price of $0.45 per common share.
The Company met the pre-disbursement conditions required to draw-down $12 million under its credit facility with ConnectFirst Credit Union and concurrently made the cash repayment of the Convertible Debentures. The $12 million draw-down from its credit facility is subject to a 60-month repayment term at a fixed rate of 4.75%, amortized over 144 months.
Decibel is uncompromising in the process and craftsmanship needed to deliver the highest quality cannabis products and retail experiences. Decibel has three operating production houses along with its wholly owned retail business, Prairie Records. The Qwest Estate in Creston, BC is a licensed and operating 26,000 square foot cultivation space which produces the widely championed, rare cultivar-focused brands Qwest and Qwest Reserve, which are sold in six provinces across Canada. Thunderchild Cultivation, is a licensed and operating 80,000 square foot indoor cultivation facility in Battleford, SK. The Plant, Decibel’s extraction facility, in Calgary, AB has 15,000 square feet of Health Canada licensed extraction and product development space. This production house will fuel the growth of our brands Qwest, Qwest Reserve, and Blendcraft, into new and innovative product formats like concentrates, vapes, edibles and beyond.
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Contact: Stuart Boucher