MedMen Announces Increased Financing Commitment – Designated News Release

MedMen Enterprises Inc. ("MedMen” or the "Company”) (CSE: MMEN) (OTCQX: MMNFF), a leading cannabis retailer with operations across the U.S., today announced the financing commitment previously announced on September 16, 2020, was increased from US$20,700,000 to US$25,705,279 as a result of an upsizing of the senior secured term loan led by Stable Road Capital (the "Senior Secured Term Loan”).

The total commitments include: (1) US$10,000,000 in gross proceeds under an unsecured convertible facility, (2) US$10,705,279 in gross proceeds under the Senior Secured Term Loan and (3) US$5,000,000 in additional gross proceeds under its senior secured convertible facility led by Gotham Green Partners. To date, the Company has closed on US$17,705,279 of total gross proceeds under these commitments. The remaining US$8,000,000 is related to the unsecured convertible facility, with additional tranches expected to close in the coming months.

The Company previously closed on US$3,000,000 ("Initial Closing”) of the US$10,705,279 financing commitment under the Senior Secured Term Loan. The closing of the remaining US$7,705,279 ("Incremental Closing”) occurred on October 30, 2020 under the same terms as the Initial Closing. The principal amount related to the Incremental Closing will carry an interest rate of 18.0% per annum, to be paid as follows: (a) 12.0% shall be paid in cash monthly in arrears; and (b) 6.0% shall accrue monthly to the outstanding principal as payment-in-kind. As consideration for the Incremental Closing, the Company is issuing 77,052,790 warrants, each exercisable at US$0.20 per share for a period of five years.

Further details on the financing commitments are available can be found on the Company’s press release dated September 16, 2020.

The securities issued in the financing commitments have not been registered under the Securities Act of 1933, as amended, or any state or other applicable jurisdiction's securities laws, and may not be offered or sold in the United States absent registration or an applicable exemption from the registration requirements of the Securities Act and applicable state or other jurisdictions' securities laws.

This press release shall not constitute an offer to sell or a solicitation of an offer to buy, nor shall there be any sale of these securities in any state or jurisdiction in which such an offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such state or jurisdiction.

ABOUT MEDMEN:

MedMen is a cannabis retailer with flagship locations in California, Nevada, Illinois, Florida, and New York. MedMen offers a robust selection of high-quality products, including MedMen-owned brands [statemade], LuxLyte, and MedMen Red through its premium retail stores, proprietary delivery service, as well as curbside and in-store pick up. MedMen Buds, the Company’s loyalty program, provides exclusive access to promotions, product drops and content. MedMen believes that a world where cannabis is legal and regulated is safer, healthier and happier. Learn more about MedMen and The MedMen Foundation at www.medmen.com.

SOURCE: MedMen Enterprises

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