iAnthus Capital Holdings, Inc. announced that the Company, along with its wholly-owned subsidiary, iAnthus New Jersey, LLC, has amended (the ?Amendment?) the terms of the senior secured bridge notes issued on February 2, 2021 (the ?Bridge Notes?) to certain related-party lenders (including funds managed by affiliates of Gotham Green Partners, LLC, Oasis Management Company Ltd., and Senvest Management, LLC) and other third-party lenders (collectively, the ?Lenders?). On February 2, 2024, in order to facilitate the Amendment, the parties agreed to a short-term extension of the maturity date from February 2, 2024, to February 16, 2024. Pursuant to the Amendment, the maturity date of the Bridge Notes has been extended from February 16, 2024, to February 16, 2026, and the interest on the principal amount outstanding will remain the same, at a rate of twelve percent (12%) per annum, but interest accruing after February 16, 2024 will be payable in quarterly cash payments.

In addition, the Amendment provides for an amendment fee (the ?Amendment Fee?) equal to ten percent (10%) of the principal amount of the Bridge Notes as of the date of the Amendment, which will be satisfied through the issuance of common shares of the Company (?Common Shares?) at a price per share equal to the volume weighted average trading price of the Common Shares on the Canadian Securities Exchange for the twenty (20) consecutive trading days immediately prior to the Amendment. As of the date of the Amendment, the aggregate principal amount outstanding on the Bridge Notes is equal to approximately USD 15.8 million. Lastly, the Company has agreed to utilize twenty-five (25%) of Non-Operational Cash Receipts in excess of USD 5,000,000 to make payments towards the principal amount outstanding under the Bridge Notes, without penalty.

For purposes of the Amendment, ?Non-Operational Cash Receipts? means cash received by the Company which is not derived from the sale of cannabis products in the ordinary course of business of the Company, whether through retail, wholesale or otherwise.