SunStream Bancorp provides follow-on funding to SKYMINT

CALGARY, Alta., November 15, 2022 /PRNewswire/ – SunStream Opportunities LP (“SunStream”), a subsidiary of SunStream Bancorp Inc., a joint venture sponsored by SNDL Inc. (Nasdaq: SNDL) (“SNDL”), today announced the closing of a US$6.25 million senior secured term loan (“Senior Secured Term Loan”) follow-on funding (the “Funding”) to SKYMINT Brands (“SKYMINT”).

The financing, made through Tropics LP, a subsidiary of SunStream, increases the principal amount of the senior secured term loan advanced to SKYMINT to $81.25 million. The financing is the second senior secured term loan financing provided by SunStream to SKYMINT, the first being a $5 million for general working capital purposes, made in May 2022. In September 2021, SunStream advanced its first senior secured term loan to Skymint for an amount of $70 million, in connection with SKYMINT’s acquisition of 3Fifteen Cannabis (“3Fifteen”). The use of funds from the financing will be for general working capital purposes as SKYMINT finalizes the transfer of the remainder of the cannabis licenses acquired from 3Fifteen. With the acquisition of 3Fifteen, SKYMINT seeks to expand its retail footprint to 24 locations in Michiganconsidered one of the largest cannabis retail footprints in the state.

The loans issued under the financing will bear interest at a rate of 12.5% ​​to 16.5% per annum based on a leverage test and will mature on September 172025.

SunStream is a joint venture between SNDL and SAF Group that leverages a strategic financial and operational partnership to target attractive risk-return opportunities in the cannabis industry to provide exposure to an attractive investment portfolio. . Over the past two years, SunStream has deployed over 400 million US dollars in loans to state-licensed cannabis operators in the United States, which include several multi-state operators.

ABOUT SNDL INC.

SNDL is a public company whose shares are listed on Nasdaq under the symbol “SNDL”.

SNDL is the largest private sector alcohol and cannabis retailer in Canada with retail brands including Ace liquor, Wine and beyond, Alcohol deposit, Value budsand spirit leaf. SNDL is a licensed cannabis producer that uses state-of-the-art indoor facilities to supply wholesale and retail customers under a portfolio of cannabis brands that includes top sheet, Cannabis Sundial, saw palmetto, Spiritleaf Selections, Go back up, Namaste, Value buds and meadows. SNDL’s investment portfolio aims to deploy strategic capital through direct and indirect investments and partnerships across the global cannabis industry.

For more information about SNDL, visit www.sndl.com.

SOURCE Sundial Growers Inc.