Charlotte's Web Holdings, Inc. (CWBHF) Form 8-K — Jun 1, 2026
Charlotte's Web Holdings, Inc. announced the closing of a transformative transaction with British American Tobacco (BAT), converting approximately $65 million of outstanding debt into equity and securing a concurrent $10 million cash investment. The deal results in the issuance of roughly 110 million new shares to BAT, giving the tobacco giant a 40.6% ownership stake and establishing it as a 'Control Person' under Canadian securities laws. The transaction significantly strengthens Charlotte's Web's balance sheet by eliminating the convertible debenture and injecting fresh liquidity.
Key figures
- Debt Amount
- 65000000
- Gross Proceeds
- 10000000
- Offering Price
- 0.94
- Shares Offered
- 109944042
- Shares Outstanding
- 270549931
- Total votes cast
- 96513512
- Bat stake percent
- 40.6
- Accrued interest cad
- 14223321
- Conversion price cad
- 0.94
- Debenture principal cad
- 75341080
- Total converted amount usd
- 65000000
- Shares from debt conversion
- 95281277
- Voter participation percent
- 60.1
- Shares from private placement
- 14662765
AI analysis
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