National Australia Bank has granted Cann Group a further two week extension of its debt facility as talks continue over restructuring the firm’s finances.
The grower was given an initial two week reprieve at the end of September, until today, October 15, with NAB now agreeing to extend the loan expiry date to October 31.
Cann Group had been due to repay A$65 million of working capital and construction loans to NAB by September 30.
The company said in an update to the ASX: “The company continues to engage constructively with its lenders regarding its debt arrangements.
“This extension provides additional time to advance refinancing discussions and access options that support the company’s long-term financial strategy.”
Cann Group shares climbed almost 7% to 1.6c in Wednesday morning trading.