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Harborside Inc. $HBOR.ca $HBORF Secures $12 Million Revolving Credit Facility $VFF.ca $HARV.ca $ACB.ca

Posted by AGORACOM at 8:08 AM on Tuesday, March 23rd, 2021
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  • First Commercial Bank Lending Deal of its Kind For a U.S. Cannabis Company

Harborside Inc. (“Harborside” or the “Company”) (CSE: HBOR) (OTCQX: HBORF), a California-focused, vertically integrated cannabis enterprise, today announced it has entered into a loan financing arrangement with a commercial federally regulated bank (the “Bank“), in the amount of US$12 million (the “Loan“) pursuant to a senior secured revolving credit facility (the “Credit Facility“) due March 2024.

Harborside expects to use the majority of the Loan proceeds to support the purchase of the Company’s 47-acre production campus later this year, which includes 200,000 sq. ft. of licensed cultivation space, including 155,000 sq. ft. of flower canopy space and 45,000 sq. ft. of nursery space in Salinas, California.

“To the best of our knowledge, Harborside is the first cannabis business in the United States to secure a commercial loan of this kind with a traditional lender,” said Tom DiGiovanni, Chief Financial Officer of Harborside. “This deal is the culmination of months of effort and reflects the close working relationship and trust that we have developed with our bank. By significantly lowering our cost of capital, we will be able to better serve our customers, provide high-quality products and invest more heavily throughout California.”

“We are thrilled to solidify our relationship with our bank as they help support our efforts and growth throughout the state of California,” said Matthew Hawkins, Chairman of Harborside. “This Loan is a significant milestone for the entire U.S. cannabis industry and testament to the work that Harborside has done over the last four quarters in an effort to deliver for our customers and shareholders.”

Loan Terms

The Credit Facility has a variable interest rate based on the prime rate charged by the Bank plus a premium, with a floor rate of 5.75%, and will be secured by a first-priority security interest on substantially all of the Company’s assets. As consideration for the Credit Facility, the Company has agreed to, among other things: (i) deliver a commercial security agreement, an assignment of deposit account, and a security agreement in respect of cash collateral to the Bank; (ii) make an upfront cash payment based on the principal amount of the Credit Facility to the Bank as an original issue discount; and (iii) issue 4,100 warrants (the “Warrants“) to the Bank to purchase multiple voting shares (“MVS“) of the Company, which subject to certain conditions, are convertible into subordinate voting shares (“SVS“) of the Company at a conversion rate of 100 SVS for each MVS converted. Each Warrant will entitle the Bank to purchase one MVS of the Company at a price of C$369, at any time prior to March 19, 2023. 

Harborside Inc. $HBOR.ca $HBORF Announces Upsize of Previously Announced Private Placement to C$27 Million $HBOR.ca $VFF.to $HARV.ca $ACB.to

Posted by AGORACOM at 9:39 AM on Wednesday, January 20th, 2021
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  • Upsized its previously announced brokered private placement for gross proceeds of approximately C$27 million

Harborside Inc. (“Harborside”, or the “Company”) (CSE: HBOR), (OTCQX: HBORF), a California-focused, vertically-integrated cannabis enterprise, is pleased to announce that it has upsized its previously announced brokered private placement of units (the “Units”) of the Company at a price of C$2.55 per SVS Unit (as defined below) for gross proceeds of approximately C$27 million (the “Offering”), representing an increase of C$7 million, due to excess demand.  ATB Capital Markets and Beacon Securities Limited are co-lead agents to the Offering (the “Agents”).

The Company has granted the Agents an option to sell up to an additional 15% of the Units in the Offering, exercisable in whole or in part at any time prior to closing of the Offering.

As previously announced, Entourage Effect Capital, LLC, one of the largest shareholders of Harborside, is participating in the Offering with approximately C$9.0 million in commitment.

Read More:https://agoracom.com/ir/HarborsideInc/forums/discussion/topics/753458-harborside-inc-announces-upsize-of-previously-announced-private-placement-to-c-27-million/messages/2299033#message

Harborside $HBOR.ca $HBORF Announces C$20 Million Private Placement of Equity Units and Provides 2021 Outlook $HBOR.ca $VFF.to $HARV.ca $ACB.to

Posted by AGORACOM at 6:35 PM on Tuesday, January 19th, 2021
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  • 2020 Preliminary Results and 2021 Outlook also provided

Harborside Inc. (“Harborside”, or the “Company”) (CSE: HBOR), (OTCQX: HBORF), a California-focused, vertically-integrated cannabis enterprise, today announced a brokered private placement of units (the “Units”) of the Company (the “Offering”) at a price of C$2.55 per SVS Unit (as defined below) for gross proceeds of approximately C$20 million with approximately C$9.0 million of commitment from Entourage Effect Capital, LLC (“Entourage”), one of the largest shareholders of Harborside.

The Company has granted the Agents (as defined below) an option to sell up to an additional 15% of the Units in the Offering, exercisable in whole or in part at any time prior to closing of the Offering.

Each Unit issued to non-residents of the United States (an “SVS Unit”) will be comprised of one subordinate voting share of the Company (the “Subordinate Voting Shares”) and one Subordinate Voting Share purchase warrant (each a “Warrant”) of the Company. Each Warrant will be exercisable to acquire one Subordinate Voting Share of the Company (a “Warrant Share”) for a period of 36 months following the closing date of the Offering (the “Closing Date”) at an exercise price of C$3.69 per Warrant Share, subject to adjustment and acceleration in certain events.

All investors that are considered residents of the United States under the United States Securities Exchange Act of 1934, will be issued units comprised of multiple voting shares of the Company (the “Multiple Voting Shares”) and Multiple Voting Share purchase warrants of the Company, which will be based on the same economic equivalency of each Multiple Voting Share converting into 100 Subordinate Voting Shares.

“We are continuing to expand our footprint in the robust California cannabis market, delivering our best-in-class service and the high-quality product selection that Harborside is known for,” said Matthew Hawkins, Chairman of Harborside. “California is one of the largest cannabis markets in the world and Harborside has more than a decade of market success for our team to build on. I would like to thank our current and new shareholders for their overwhelming support of our growth strategy. This additional capital will solidify our balance sheet and provide a platform for us to continue to consolidate in the California market through accretive M&A transactions.”

Read More: https://agoracom.com/ir/HarborsideInc/forums/discussion/topics/753428-harborside-inc-announces-c-20-million-private-placement-of-equity-units-and-provides-2021-outlook/messages/2298963#message

Four Cannabis Resolutions for 2021 SPONSOR: Harborside $HBOR.ca $VFF.to $HARV.ca $ACB.to

Posted by AGORACOM at 2:27 PM on Thursday, January 14th, 2021
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SPONSOR: Harborside is a California-focused, vertically integrated, fully licensed cannabis company with its business consisting of three primary segments, Retail Dispensaries, Cultivation and Processing and Wholesale Sales (including branded product sales). Harborside operates the only drive through dispensary in California

  • Here are four resolutions for conscientious local cannabis consumers to consider.

By all accounts, the Bay Area cannabis industry did remarkably well for itself in 2020.

Forced to deal with new COVID-19 restrictions, a crumbling economy, fallout from multiple wildfires, and a string of high-profile robberies, cannabis companies still managed to rake in close to $1 billion for California in state tax revenue alone.

At the same time, the window for equity brands to establish a viable foothold in the industry continues to rapidly close.

It’s now been a full three years since California’s adult-use market began in earnest. That’s a lot of time for consumers to develop brand loyalty, be it on the product side or the shops they frequent. Nonetheless, the time required to move through San Francisco’s equity program means that a number of new, equity-owned businesses are just now getting off the ground.

And they could use your help. In fact, there’s a number of ways individuals can make a difference! On that note — and in the spirit of starting 2021 on the right foot — here are four resolutions for conscientious local cannabis consumers to consider.

Shop Equity-Owned

There are two types of dispensaries that exist in San Francisco: those that were grandfathered in from the Prop. 215 days and those owned by equity operators. To be sure, there are plenty of great pot shops that fall into the former category, but in the spirit of spreading the love around, it’s also extremely important to support the new crop of Black and brown-owned dispensaries now open in the city if we hope to see them endure. In 2020 alone, new shops to open from equity owners include Stiiizy-Union Square (SF’s first dispensary owned by a Latina woman) and Posh Green (SFs first dispensary owned by a Black woman). There is also a newly created “SF Equity” seal that customers can look for when shopping for local products across all categories. More new shops, including one affiliated with the combo print shop and arcade, Free Gold Watch, are expected to open in 2021 as well.

Tour a Legal Grow

It may sound like a flowery platitude, but to truly understand cannabis, one should really see it grow. In the past, such a visit might have put you at risk of doing time, but nowadays, there are legal opportunities for individuals or groups to tour outdoor and indoor grow sites. Walking between rows of towering plants at the peak of harvest is something everyone should experience. From the scents to the scale to the solace, there is so much to soak in at a cannabis farm. As an added bonus, you’ll likely also get to meet the farmers responsible for growing your medicine. They can tell you about the ways smoke changes sunlight, which in turn affects terpene output. They can share their personal stories of what led them to this career (hint: when it comes to craft growers, the answer is not “getting rich”)

Cook with Cannabis

If we haven’t yet arrived at the molecular gastronomy phase of the cannabis cooking revolution, it’s assuredly coming soon. From the golden days of brownies baked by intuition, the modern edibles market is, by contrast, a brain-bursting cornucopia of choice and potential confusion. If you’re tired of trying to understand the difference between live resin and raw flower or continue to question how dosing works, why not get a little hands-on experience? The time has quite honestly never been better to bring cannabis into your home kitchen. Local cannabis chef (and Mellows founder) Stephanie Hua has a cookbook to guide newbies along, while San Francisco’s Potli prides itself on offering products designed to serve as staples of a cannabis-friendly pantry. Once you’ve tackled a few recipes on your own, you’ll likely have a far more nuanced appreciation for all of the many ingredients that go into preparing an infused edible!

Support Pot Non-Profits

Yes, 2020 was a big year for people asking for money. No, that’s not likely to end anytime soon. Of the many worthy causes in need of your funds, several groups focused on advocacy and racial justice within the legalized cannabis space are notably also seeking donations. In the Bay Area, Oakland’s the Hood Incubator is calling for financial contributions. It’s difficult to overstate how the industry — both in the Bay Area as well as across California — might look without their tireless efforts to empower local equity applicants to reach the finish line and remain viable. Another one to consider is the California chapter of the National Organization for the Reform of Marijuana Laws (NORML). Advocates for patients and sensible drug laws, it’s likely both CA NORML as well as the organization’s national wing will both be very busy this year as the prospect of federal decriminalization (or outright legalization) continues to gain traction in Congress.

SOURCE: https://www.sfweekly.com/culture/pacific-highs/four-cannabis-resolutions-for-2021/

Harborside Inc. $HBOR.ca $HBORF Announces Participation in ATB 9th Annual Institutional Investor Conference $VFF.to $HARV.ca $ACB.to

Posted by AGORACOM at 1:46 PM on Wednesday, January 13th, 2021
  • Matt Hawkins, Chairman of Harborside, will participate at the ATB 9th Annual Institutional Investor Conference, January 14, 2021

Harborside Inc. (“Harborside”, or the “Company”) (CSE: HBOR), (OTCQX: HBORF), a California-focused, vertically-integrated cannabis enterprise, announced that Matt Hawkins, Chairman of Harborside, will participate at the ATB 9th Annual Institutional Investor Conference, being held on January 14, 2021. Mr. Hawkins is scheduled to participate in a panel discussion, “U.S. Retail: What Leadership Looks Like Today and Tomorrow”, at 9:40am ET as well as host one-on-one investor meetings throughout the day.

About Harborside:
Harborside Inc. is one of the oldest and most respected cannabis retailers in California, operating three of the major dispensaries in the San Francisco Bay Area, a dispensary in the Palm Springs area outfitted with Southern California’s only cannabis drive-thru window, a dispensary in Oregon and a cultivation/production facility in Salinas, California. Harborside has played an instrumental role in making cannabis safe and accessible to a broad and diverse community of California consumers. In 2006, Harborside was awarded one of the first six medical cannabis licenses granted in the United States and today holds cannabis licenses for retail, distribution, cultivation, nursery and manufacturing. Harborside is currently a publicly listed company on the CSE trading under the ticker symbol “HBOR”. Additional information regarding Harborside is available under Harborside’s SEDAR profile at www.sedar.com.

Harborside Inc.$HBOR.ca Completes Acquisition of San Francisco Dispensary $HBOR.ca $VFF.to $HARV.ca $ACB.to

Posted by AGORACOM at 8:48 AM on Monday, December 21st, 2020
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  • Expands Footprint with Social Equity Dispensary in Historic Haight-Ashbury District 

Harborside Inc. (“Harborside”, or the “Company”) (CSE: HBOR), (OTCQX: HBORF), a California-focused, vertically-integrated cannabis enterprise, announces the closing of the transactions contemplated by the previously announced agreement to acquire 50.1% of the equity (the “Shares”) of FGW Haight, Inc. (“FGW”), a California corporation which has the conditional use approval necessary to operate a cannabis dispensary and related businesses in the Haight Ashbury area of San Francisco, California (the “Acquisition”).

With the completion of the Acquisition, Harborside expands its retail dispensary footprint in the state of California to five and solidifies a strong presence in the historic and culturally-significant Haight-Ashbury district of San Francisco. The Company expects to complete the build-out, receive all necessary regulatory approvals, and open the social equity retail dispensary in the third quarter of 2021.

“I’m excited to continue to expand our footprint in California and look forward to serving consumers in Haight Ashbury,” said Peter Bilodeau, Interim CEO of Harborside. “Together, we will work with the team from FGW to give back to the community and support initiatives to address the negative impact of past cannabis policies which have disproportionally impacted low income and minority community members. This new location will also introduce the best-in-class service and unbeatable product selection that Harborside has become famous for to an iconic area of San Francisco.”

Upon closing of the Acquisition, Harborside paid an aggregate purchase price of USD $2,179,350 based on a post-build-out and proforma working capital enterprise value of USD $4,350,000 (the “Purchase Price”). The Purchase Price is comprised of: (a) USD $1,265,000 as consideration for convertible notes of FGW entitling the Company to such number of underlying Shares equal to 29.1% of the Shares; and (b) the balance of the Purchase Price in multiple voting shares (“MVS”) valued at CAD$125 per MVS as consideration to certain selling shareholders of FGW for 21% of the issued and outstanding Shares.

Subject to regulatory approval, Harborside has also agreed to purchase an additional 29.9% of the issued and outstanding Shares (the “Subsequent Shares”) to get to an 80% ownership of FGW, subject to regulatory approvals. The aggregate purchase price for the Subsequent Shares will be USD $1,300,650, which will be satisfied in MVS valued at the greater of: (i) the 30 day VWAP of the subordinate voting shares of the Company on the Canadian Securities Exchange (“CSE”) at the time of issuance less a discount multiplied by 100; (ii) CAD$150 per MVS; or (iii) such other price as may be approved by the CSE. Harborside also retains the right of first refusal to purchase, in its discretion, in whole or in part and in one or more closings, the remaining 20% of the Shares, subject to regulatory approvals.

About Harborside:
Harborside Inc. is one of the oldest and most respected cannabis retailers in California, operating three of the major dispensaries in the San Francisco Bay Area, a dispensary in the Palm Springs area outfitted with Southern California’s only cannabis drive-thru window, a dispensary in Oregon and a cultivation/production facility in Salinas, California. Harborside has played an instrumental role in making cannabis safe and accessible to a broad and diverse community of California consumers. In 2006, Harborside was awarded one of the first six medical cannabis licenses granted in the United States and today holds cannabis licenses for retail, distribution, cultivation, nursery and manufacturing. Harborside is currently a publicly listed company on the CSE trading under the ticker symbol “HBOR”. Additional information regarding Harborside is available under Harborside’s SEDAR profile at www.sedar.com.

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