Curaleaf Locks In $500M Refinancing for Maturing Notes

STAMFORD – Curaleaf Holdings, Inc. announced that it has obtained commitments for a $500 million private placement of senior secured notes with an interest rate of 11.5%, maturing on February 1, 2029.

The company plans to use most of the proceeds to refinance its existing $475 million senior secured notes due December 15, 2026, of which $457 million remains outstanding. The additional funds will support global growth initiatives and cover transaction costs. The offering, issued at 100% of face value with semi-annual interest payments, is non-dilutive to shareholders and allows for potential future issuances under specified leverage conditions, along with up to $100 million in senior bank financing. Closing is anticipated around February 18, 2026, pending standard conditions.

The transaction drew strong interest, becoming oversubscribed and marking the largest debt offering in the U.S. Cannabis sector to date. Ten new lenders participated, signaling continued institutional support despite ongoing federal restrictions and market challenges. Chairman and CEO Boris Jordan highlighted the outcome as a reflection of confidence in Curaleaf’s operations and cash flow generation.

This move addresses a significant near-term debt obligation at a time when the Cannabis industry continues to face high borrowing costs and limited access to traditional financing. By extending maturities by more than two years, Curaleaf gains additional operational runway to focus on expansion and efficiency improvements. Recent preliminary unaudited results for Q4 2025 showed solid performance, which likely bolstered investor appetite for the deal.

As federal reform remains uncertain, such refinancings underscore the sector’s reliance on high-yield debt to manage liabilities. For Curaleaf, completing this transaction positions the company to navigate the current environment with a more stable capital structure. Overall, this refinancing represents a pragmatic step for Curaleaf in maintaining financial flexibility without equity dilution. It buys time for potential policy shifts or organic growth to improve credit metrics, though the 11.5% coupon reflects persistent risk pricing in Cannabis debt markets.