Nabis Holdings Inc (CSE:NAB) (OTCMKTS:NABIF) (FRA:A2PL) has provided an update on Arizona operations.
In a statement Tuesday, Nabis noted that Perpetual Healthcare Inc received its “Dual License” from the Arizona Department of Health Services, enabling it to sell cannabis products to adult users in addition to continuing to service its established medical clientele. Perpetual intends to commence sales to the “adult use” market as quickly as practicable.
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Further, Nabis said PNTM Management Services LLC, the plaintiff in the previously announced lawsuit against the company’s wholly-owned subsidiary Nabis AZ LLC, has agreed to a stipulation to dismiss after Nabis discharged its US$8.5 million deferred payment obligation to PNTM in respect of an asset purchase agreement for the assets and management agreement relating to the operation and management of Perpetual Healthcare Inc.
Nabis said funding for the PNTM obligation was obtained from an unsecured US$9 million, 1-year loan bearing interest at 12%. The remainder of the proceeds from the loan will be used for general corporate purposes.
At the time of the loan, Nabis said the lender was at arm’s length to the company, however the lender has subsequently become a related party of the company upon completion of the company’s proposal under the Bankruptcy and Insolvency Act (Canada).
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