Gage Growth Corp., a leading high-quality premium cannabis brand and operator in Michigan, closed on a senior secured term loan for aggregate gross proceeds of US$55 million (the "Offering"). Gage intends to use the proceeds (i) to finance the Company's retail acquisition strategy in Michigan, (ii) to support the Company's future growth, and (iii) for general working capital purposes. All retail acquisitions are expected to be accretive to Gage and TerrAscend Corp. ("TerrAscend") upon and subject to the completion of its proposed acquisition of Gage.

The placement was arranged by Canaccord Genuity Corp. and Chicago Atlantic as lead lender and administrative agent.

"This non-dilutive financing provides Gage with maximum flexibility to execute on near-term acquisition opportunities," said Fabian Monaco, CEO of Gage. "We received a great deal of interest and, through our advisors, had healthy participation in this transaction by a high-quality mix of institutional investors, led by Chicago Atlantic Advisors, LLC ("Chicago Atlantic"). Together with TerrAscend, we are committed to building one of the most dominant cannabis companies in Michigan. With the closing of this debt financing, we are well positioned to execute swiftly and drive value for our shareholders."

John Mazarakis, Partner of Chicago Atlantic, added, "Gage has built an extraordinary organization focused on high quality product, culture, and community, centered in a growing network of retail and cultivation assets. The terms of the Term Loan reflect the Gage management team and its employees' remarkable track-record of execution and extraordinary commitment to serving its communities."

The Term Loan bears interest at a per annum rate equal to the greater of 7.00% plus prime rate and 10.25%, payable monthly in arrears, with a maturity date of November 30, 2022. The Term Loan is secured by a first lien on all Company assets.