Financing ·
Charlotte’s Web Holdings, Inc.’s subsidiary entered into a Convertible Promissory Note with DeFloria, Inc., a joint…
CWBHFCharlotte's Web Holdings, Inc.
Charlotte’s Web Holdings, Inc.’s subsidiary entered into a Convertible Promissory Note with DeFloria, Inc., a joint venture involving the company, AJNA BioSciences, and British American Tobacco. The note carries an aggregate principal amount of $1,582,500, superseding a prior instrument. Interest accrues at 8.0% plus the Bank of England Base Rate, initially set at 11.25% per annum and capped at 14%. The debt automatically converts upon DeFloria’s qualified financing of at least $10 million in new preferred stock, utilizing a conversion price based on an $146 million valuation cap or a discount to investor pricing. Charlotte's Web Holdings operates in the cannabis industry.