Alternative Finance Network (AFN), an independent financing network serving cannabis and hemp companies in the United States and Canada, announced today that it has arranged a $10 million revolving credit facility for Jupiter Research, LLC ("Jupiter"), a subsidiary of TILT Holdings Inc. ("TILT") (OTCQX: TLLTF; CSE: TILT).
TILT now has access to low rates for cannabis financing at prime plus 3.5 percent and this facility is secured with accounts receivable, inventory and related property from Jupiter. With this credit facility, TILT is leading the way for the cannabis industry to start receiving rates that are more in-line with what non-cannabis commercial businesses experience. The proceeds will be used for general corporate purposes and capital projects. The line has a two-year term and will continue for additional one-year terms unless ended by either party.
"This transaction demonstrates our ability to assist leading cannabis companies in their search for working capital by using our network of cannabis-friendly funding sources to bring together borrowers and lenders," said Scott Jordan, founder of Colorado-based Alternative Finance Network. "Without this expansive network, it would have been difficult for this transaction to have occurred."
"TAFN has been a knowledgable and trusted partner in this process, and we were grateful to work with them on this credit facility," said Gary Santo, CEO of TILT. "This transaction had its challenges given the nature of our industry, but TAFN's perseverance and tenacity led us to a successful outcome. We look forward to the opportunity to work with them again in the future."
About The Alternative Finance Network
The Alternative Finance Network (AFN), was created by Scott Jordan in 2019 with the mission of leveling the playing field and providing multiple funding options to cannabis business owners at the lowest possible rates using a network of financing partners to help its clients obtain the debt capital they need to expand their businesses and meet their corporate growth objectives. AFN provides access to banks, credit unions, life insurance companies and private lenders who want to provide debt capital to cannabis businesses seeking financing for real estate, sale leasebacks, equipment financing and working capital lines of credit. AFN founder, Scott Jordan, has a long history in the cannabis financing space and has participated in over 100 financing transactions providing over $80 million in debt capital to cannabis business owners and is currently working with some of the largest MSOs in cannabis. For more information, visit alternativefinancenetwork.com.
TILT helps cannabis businesses build brands. Through a portfolio of companies providing technology, hardware, cultivation and production, TILT services brands and cannabis retailers across 36 states in the U.S., as well as Canada, Israel, Mexico, South America and the European Union. TILT's core businesses include Jupiter Research LLC, a wholly-owned subsidiary and leader in the vaporization segment focused on hardware design, research, development and manufacturing; and cannabis operations, Commonwealth Alternative Care, Inc. in Massachusetts, Standard Farms LLC in Pennsylvania and Standard Farms Ohio, LLC in Ohio. TILT is headquartered in Phoenix, Arizona. For more information, visit www.tiltholdings.com.