FFNTF - 4Front Ventures announces CEO transition; converts senior secured debt into equity

2024-01-08 09:25:25 ET

• 4Front Venture ( OTCQX:FFNTF ) Monday announced that its board of appointed Andrew Thut as chief executive officer.
• Thut would succeed Leo Gontmakher, who has served as CEO since May 30, 2020. Gontmakher would remain on the board as a director and serve as a consultant to the company.
• Additionally, the company announced a conditional amendment to its loan and security agreement, under which the lender would convert about 44% ($23M) of the principal amount of its debt into class A subordinate voting shares of the company.
• The conversion price is C$0.125 ($0.094) per subordinate voting share.
• Under the terms of the amendment, the company will also provide 15% warrant coverage with an exercise price of C$0.144.
• The terms for the remaining loan balance of $28.7M would be unamended, and the interest rate would remain at 12%.
• Source: Press Release

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