In connection with the termination, PharmaCann has agreed to transfer certain cannabis licenses and related assets in Illinois and Virginia to MedMen for no additional consideration.
PharmaCann has agreed to pay a termination fee through a transfer of the membership interests in three entities holding four assets.
MedMen will forgive all amounts outstanding under its existing line of credit, which totaled ~$21M, contingent on the successful Transfer of Interests.
In the event any Transfer of Interest is unable to occur, PharmaCann will pay one-third of the aggregate principal amount and any corresponding accrued interest under the Line of Credit and $10M for each denial.
Additionally, effective today, Zeeshan Hyder, Chief Corporate Development Officer has been appointed CFO at MedMen.
Hyder succeeds Michael Kramer, whose employment has been terminated as of October 7, 2019.
Previously: MedMen to acquire PharmaCann (Dec. 24, 2018)
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