Sundial Growers Inc. (“Sundial”) is pleased to announce the closing of an $11 million private debt financing arrangement that will fund the ongoing development of its flagship cannabis production facility in Olds, Alberta. This arrangement combined with private investor capital committed to date provides Sundial with the funding needed to complete Phase 1 of the Olds facility.
“We are excited that the financing for Phase 1 of our flagship facility in Olds is now fully in place”, said Sundial’s Executive Chairman, Ted Hellard. “The debt financing provides Sundial with the necessary capital to accelerate the development of our Olds facility. This is a key milestone in our long-term strategy of becoming a leading licensed cannabis producer in Canada and we have an exceptional partner in the Town of Olds.”
Expected to be completed by June 2018, Phase 1 of the facility will be 35,000 square feet, which, once fully licensed, will produce an estimated 3,800,000 grams of dry cannabis annually. By the end of 2018, 30,000 square feet of additional grow space will be added to the building, bringing the annual total production capacity of Phase 1 to almost 10,000,000 grams.
Sundial owns an additional 30-acres of land adjacent to the Phase 1 building and plans to accelerate the development of Phase 2 of its Olds facility to over 500,000 square feet, employing over 650 employees, through additional financing arrangements.