Greenway Greenhouse Cannabis Selling Its Hydroponic Greenhouse As Surplus Asset

Greenway Greenhouse Cannabis Corporation GWAY has signed an agreement with a tier 1 financial institution to facilitate the sale of a surplus asset located at 620 Essex County Road 37, Leamington, ON. The property is a 10-acre high-tech hydroponic greenhouse owned by the company, currently being rented to Sunrite Greenhouse Ltd.

As the property is used as security for its bank credit facility, the proceeds of the sale will be used to pay the full balance of the bank credit facility and the remaining funds will be used for working capital purposes.

"I am happy to be working with a tier 1 financial institution to receive the full value of the surplus asset," stated Darren Peddle, CFO of Greenway Greenhouse. "We are currently producing cannabis at a different facility, of which, the company has the right to expand its production within the leased facility. The total square footage of the leased facility is 1.8 million ft². Therefore, the company has determined that the property is not required for future expansions and is considered a surplus asset with significant value."

Jamie D'Alimonte, CEO of Greenway Greenhouse stated, "It is in the best interest of shareholders and the corporation to sell off what we believe to be a surplus asset, this type of proactive asset sale will allow Greenway to focus on our current physical plant expansion which adds 125,000 ft² of growing space."

Photo by Richard T on Unsplash

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