DEBT (Tables)
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9 Months Ended |
Sep. 30, 2023 |
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| Debt Disclosure [Abstract] |
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| Components of Debt |
The components of the Company’s debt are as follows:
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Effective Interest Rate |
Maturity Date |
September 30, 2023 |
|
December 31, 2022 |
| Principal amounts: |
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| Second Lien Notes |
15% |
December 2026 |
$ |
73,991 |
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|
$ |
73,182 |
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| Acquisition Facility |
15% |
December 2024 |
62,563 |
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|
65,000 |
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| Acquisition-related promissory notes payable |
8% - 23% |
August 2024 - April 2027 |
35,716 |
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|
35,716 |
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| Mortgage loans |
6% - 9% |
January 2027 - April 2028 |
29,505 |
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|
7,770 |
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| Total debt subject to scheduled repayments |
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|
201,775 |
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|
181,668 |
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Promissory notes payable to Sammartino (1)
|
11% |
September 2024 - September 2026 |
21,500 |
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|
21,500 |
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Jushi Europe debt (2)
|
n/a |
March 2022 |
3,162 |
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|
3,190 |
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| Total debt |
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|
226,437 |
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|
206,358 |
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| Less: debt issuance costs and original issue discounts |
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(14,346) |
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|
(17,096) |
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| Total debt, net |
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$ |
212,091 |
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$ |
189,262 |
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| Debt, net - current portion |
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|
$ |
35,620 |
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$ |
8,704 |
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| Debt, net - non-current portion |
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$ |
176,471 |
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$ |
180,558 |
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(1)This amount is related to the promissory notes issued to Sammartino in connection with the acquisition of Nature's Remedy in September 2021. Any repayment of principal and interest are currently on hold until the resolution of the Sammartino Matter. Refer to Note 18 - Commitments and Contingencies for more information.
(2)On February 16, 2022, Jushi Europe SA, a company organized under the laws of Switzerland (“Jushi Europe”), filed a notice of over-indebtedness with the Swiss courts. Then, the Swiss courts declared Jushi Europe’s bankruptcy on May 19, 2022. As a result, Jushi Europe updated its corporate name to Jushi Europe SA in liquidation, which is still on-going. This debt balance will be adjusted, including the extinguishment of any outstanding debt, upon the final liquidation of Jushi Europe. Refer to Note 17 - Related Party Transactions for more information.
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| Schedule of Future Contractual Debt Maturities |
As of September 30, 2023, aggregate future scheduled repayments of the Company’s debt are as follows:
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Remainder of the year |
2024 |
2025 |
2026 |
2027 |
Thereafter |
Total |
| Second Lien Notes |
$ |
— |
|
$ |
— |
|
$ |
— |
|
$ |
73,991 |
|
$ |
— |
|
$ |
— |
|
$ |
73,991 |
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| Acquisition Facility |
2,438 |
|
60,125 |
|
— |
|
— |
|
— |
|
— |
|
62,563 |
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| Acquisition-related promissory notes payable |
3,448 |
|
5,885 |
|
1,970 |
|
1,971 |
|
22,442 |
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— |
|
35,716 |
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| Mortgage loans |
54 |
|
485 |
|
658 |
|
669 |
|
9,399 |
|
18,240 |
|
29,505 |
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| Total debt subject to scheduled repayments |
$ |
5,940 |
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$ |
66,495 |
|
$ |
2,628 |
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$ |
76,631 |
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$ |
31,841 |
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$ |
18,240 |
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$ |
201,775 |
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| Schedule of Interest Expense |
Interest expense, net is comprised of the following:
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Three Months Ended September 30, |
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Nine Months Ended September 30, |
|
2023 |
|
2022 |
|
2023 |
|
2022 |
| Interest expense |
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Interest and accretion - 10% Senior Notes |
$ |
— |
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|
$ |
6,779 |
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|
$ |
— |
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|
$ |
18,015 |
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| Interest and accretion - Second Lien Notes |
2,640 |
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|
— |
|
|
7,568 |
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|
— |
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| Interest and accretion - Finance lease liabilities |
2,335 |
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|
2,754 |
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|
7,282 |
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|
8,668 |
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Interest and accretion - Promissory notes |
1,547 |
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|
1,709 |
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|
4,625 |
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|
3,794 |
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| Interest and accretion - Acquisition Facility |
2,298 |
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|
1,918 |
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|
7,265 |
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|
5,212 |
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| Interest and accretion - Mortgage loans and other financing activities |
612 |
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|
266 |
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|
1,422 |
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|
885 |
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| Capitalized interest |
(54) |
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(124) |
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(464) |
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(2,171) |
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| Total interest expense |
9,378 |
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|
13,302 |
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|
27,698 |
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|
34,403 |
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| Interest income |
(33) |
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|
(191) |
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|
(43) |
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|
(229) |
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| Total interest expense, net |
$ |
9,345 |
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$ |
13,111 |
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$ |
27,655 |
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$ |
34,174 |
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