Gencanna Global Usa, Inc. Overview
“Gencanna Global Usa, Inc. filed as a Foreign for Profit Corporation in the State of Florida and is no longer active. This corporate entity was filed approximately three years ago on Tuesday, November 14, 2017 as recorded in documents filed with Florida Department of State. It is important to note that this is a foreign filing. A foreign filing is when an existing corporate entity files in a state other than the one they originally filed in. This does not necessarily mean that they are from outside the United States. There are a couple of officers known to have been associated with this organization.”
These addresses are known to be associated with Gencanna Global Usa, Inc. however they may be inactive or mailing addresses only. Please verify address for mailing or other purposes.
It is an odd thing being a public-ish company. Sometimes court filings are public, sometimes they are not.
The 420 pound guerrilla in the room is who owns all of the assets that were once GenCanna Global USA Inc.?
“Secures $10 Million In DIP Financing From Existing Senior Lender and Will Evaluate all Strategic Options to Maximize Value
February 06, 2020 01:02 AM Eastern Standard Time
WINCHESTER, Ky.–(BUSINESS WIRE)–GenCanna Global USA, Inc. (“GenCanna” or the “Company”) announced today it has filed a petition for voluntary Chapter 11 reorganization with the U.S. Bankruptcy Court in the Eastern District of Kentucky (the “Court”). The filing will allow GenCanna to continue to operate its business without interruption to customers, vendors, partners and employees while working through a reorganization plan that could include refinancing of the Company’s existing indebtedness, or an alternative restructuring transaction such as a sale.
GenCanna has obtained approximately $10 million in post-petition debtor-in-possession (DIP) financing from its senior lender, which, subject to Court approval, will provide the Company with liquidity to maintain its operations in the ordinary course of business during the Chapter 11 process.
“We are taking this action in order to position our business for success in a highly dynamic and rapidly evolving industry,” said Matty Mangone Miranda, Chief Executive Officer of GenCanna Global. “While this is certainly not the outcome we desired, the bankruptcy process gives us the ability to move forward in a way that allows us to best continue operations and serve customers as we work through our reorganization, resolve an outstanding legal dispute involving our Western Kentucky facility, navigate an uncertain regulatory environment and adjust our annual operating costs to better match the landscape.”
Miranda added, “Through this restructuring, we plan to address certain structural issues that we could not fix on our own. We are grateful for the continued support of our existing senior lender, who recognizes the strength of our brand, and we will continue to work tirelessly on behalf of our employees, farmers, and vendor partners.”
GenCanna has hired the following professionals to assist with its restructuring. Huron Consulting Services LLC is serving as Operational Advisor, Jefferies LLC is serving as financial advisor, and Benesch Friedlander Coplan & Aronoff LLP along with Dentons Bingham Greenebaum LLP is serving as the Company’s legal counsel in connection with the Chapter 11 case. For more information about the Chapter 11 case, including access to Court documents, please visit: https://dm.epiq11.com/GenCanna.
On January 24, 2020, Pinnacle, Inc., Crawford Sales, Inc., and Integrity / Architecture PLLC filed an involuntary chapter 11 petition under title 11 of the United States Code (the “Bankruptcy Code”) against GenCanna Global USA, Inc. On February, 6, 2020, GenCanna Global USA, Inc. consented to the involuntary petition and on February 5, 2020 two debtor affiliates, GenCanna Global, Inc. and Hemp Kentucky, LLC filed their own voluntary chapter 11 petitions under the Bankruptcy Code. As a result of these petitions the Debtors consented to, or commenced, the current chapter 11 bankruptcy cases (the “Cases”). The Cases will be jointly administered for procedural purposes meaning all pleadings will be maintained on the case docket for In re GenCanna Global USA, Inc., Chapter 11 Case No. 20-50133-grs (the “Main Case Docket”). The Main Case Docket can be accessed through the website maintained by the United States Bankruptcy Court for the Eastern District of Kentucky (https://www.kyeb.uscourts.gov/). An unofficial version of the Main Case Docket is accessible in the Dockets tab above.
MariMed, which owns a 33.5% stake in GenCanna and is also a creditor, continues to work with GenCanna as a supplier to its MariMed Hemp subsidiary and is closely following this situation. GenCanna recently announced the completion of the largest recorded hemp harvest in Kentucky (approximately 6000 acres). Over 14 million pounds of CBD rich biomass is ready to be processed at a South Carolina processing plant. Sales of products from this production are expected to begin in Q2 and are expected to generate meaningful revenues for GenCanna in 2020.
Jon Levine, CFO of MariMed, commented, “GenCanna experienced several challenges last year ranging from contraction in cannabis sector of the capital markets to a fire in November at its main processing and lab facilities in Kentucky, which adversely impacted its sales and revenue. We are hopeful the Chapter 11 filing and proposed restructuring will facilitate GenCanna’s ability to generate meaningful revenue in the near-term and to utilize the Chapter 11 proceedings to quickly refinance its senior lender debt and arrange resolution for the orderly payment of its farmers, contractors, and creditors, including MariMed. During this process, GenCanna is expected to continue operating as a supplier of top-quality, hemp-based CBD products.”
Mr. Levine concluded, “MariMed appreciates GenCanna’s responsible decision to proactively implement a strategic plan to repay its creditors. This reorganization does not impact MariMed’s core cannabis business, which is focused on developing and operating state licensed cannabis facilities and cannabis brands and products, including our industry-leading brands ‘Kalm Fusion’ and ‘Betty’s Eddies’. We expect revenues from our cannabis business to continue to grow in 2020 as demand for high quality cannabis and cannabis-infused products continues to occupy a growing share of the overall legal cannabis market.”