Red White & Bloom Brands Completes Transformative Restructuring, Announces Delay in Filing of Annual Financial Statements, and Granting of MCTO

Core Viewpoint - Red White & Bloom Brands Inc. has successfully completed a series of transactions aimed at reducing shareholder dilution, lowering debt costs, refocusing on profitable growth, and facilitating the filing of financial statements through a Management Cease Trade Order (MCTO) [1] Debt Restructuring - The company restructured approximately C$145 million of outstanding debt through agreements with strategic lenders, as part of a broader debt renewal program [2] - The restructuring included the elimination of potential dilution of 198 million common shares, which is 42.1$33 million and to September 2027 for the remaining C$112 million [9] - All cash interest and principal payments for the restructured debt have been deferred until their new maturity dates, resulting in principal reductions of$5 million and annualized interest expense savings of $2.5 million [9] Management Cease Trade Order - The company has been granted an MCTO due to delays in completing its fiscal year-end audit, which has prevented the filing of audited annual financial statements by the April 30, 2025 deadline [4][7] - The delay is attributed to the expanded scope of audit procedures and the restatement of prior financial information following a review by the Canadian Public Accountability Board [5] - The company expects to file the annual filings by May 30, 2025, and will issue updates on the progress through bi-weekly reports until the filings are completed [6][8] Company Overview - Red White & Bloom Brands Inc. operates as a multi-jurisdictional cannabis operator, focusing on major U.S. markets such as California, Florida, Missouri, Michigan, and Ohio, as well as Canadian and international markets [10]