Greenlane Holdings closes $4.3M public offering of units with warrants

On June 29, 2023, Greenlane Holdings, Inc. (the “Company”) entered into securities purchase agreements (each a “Purchase Agreement” and, together, the “Purchase Agreements”) with certain investors, pursuant to which the Company agreed to issue and sell an aggregate of 560,476 shares of the Company’s Class A common stock, par value $0.01 per share (the “Common Stock”), pre-funded warrants to purchase 3,487,143 shares of Common Stock (the “Pre-Funded Warrants”) and warrants to purchase 8,095,238 shares of Common Stock (the “Standard Warrants”), in a public offering (the “Offering”).

On June 29, 2023 and in connection with the Offering, the Company entered into privately negotiated agreements (the “Warrant Amendments”) with holders participating in the Offering to amend existing outstanding warrants to purchase up to 1,674,567 shares of Common Stock that were previously issued in June 2022 and November 2022 at exercise prices per share of $50.00 and $9.00, respectively, and expire on December 29, 2027 and November 1, 2029, respectively (collectively, the “Prior Warrants”), effective upon the closing of the Offering to reduce the exercise price of the Prior Warrants to $1.05, the exercise price of the Standard Warrants.

The Company agreed to pay A.G.P. an aggregate cash fee equal to 7.0% of the aggregate gross proceeds raised in the Offering pursuant to a Placement Agency Agreement entered into by the Company and A.G.P. on June 29, 2023 (the “Placement Agency Agreement”).