Lowenstein Represents Noteholders in Amendment to Note Purchase Agreement with Cannabis Company Leafly

Lowenstein Sandler represented noteholders in an amendment and extension of the 8 percent senior convertible notes issued by Leafly, the leading destination to learn about, find, and order cannabis. As holders of approximately $30 million of these notes, under the amendment agreements, the noteholders will receive a paydown of principal and interest and an elevated status from unsecured to secured holders in exchange for a 5-month maturity extension.

Specifically, the First Amendment to the Note Purchase Agreement and the Amended and Restated Convertible Note, among other things, (i) extended the maturity date of the notes from January 31, 2025 to July 1, 2025, (ii) added certain financial maintenance covenants, (iii) required a 12.5 percent pay down of the outstanding principal of the notes plus all accrued and unpaid interest, and (iv) required Leafly to grant a security interest in substantially all of the company's assets to secure its obligations under the notes.

The Lowenstein team included David M. Posner, Gianfranco Finizio, Matthew P. Hintz, Kelly E. Moynihan, Raquel Smith, and Carolyn M. Gauvin.