---
schema_version: "secwatch.filing_event.v1"
accession: "0001213900-25-079941"
form_type: "8-K"
ticker: "CANN"
cik: "0001477009"
company_name: "TREES Corp (Colorado)"
filed_at: "2025-08-22T23:59:59+00:00"
generated_at: "2026-05-17T10:32:54.905352+00:00"
event_type: "debt"
sentiment: "negative"
materiality_score: 0.75
calibrated_materiality_score: 0.75
confidence: "high"
source: SEC EDGAR
---

# Trees Corp restructures $6.75M debt, acquires Chronic Therapy dispensary, amends CEO comp

## Summary
- Debt restructuring cancels WC/M&A notes; issues $6.749M First Senior Note at 18% interest, 2x liquidation preference, matures Mar 15, 2026.
- Acquired all membership interests of Beddor Claude LLC (Chronic Therapy) for $1.7M; includes dispensary and cultivation in Wheat Ridge, CO.
- Interim CEO Adam Hershey gets A&R agreement: $200k/year, 10% of fully-diluted shares over 2 years, plus 7.5% liquidation fee on change of control.
- New financial covenants: maintain minimum cash >= -$550k; mandatory payment to investors when available cash >= $1.5M.
- All conversion features removed from Original Notes; notes amended to mature Sept 15, 2026, interest payable quarterly beginning June 15, 2026.

## SEC filing metadata
- accession: 0001213900-25-079941
- form_type: 8-K
- ticker: CANN
- cik: 0001477009
- company_name: TREES Corp (Colorado)
- filed_at: 2025-08-22T23:59:59+00:00
- event_type: debt
- sentiment: negative
- materiality_score: 0.75
- calibrated_materiality_score: 0.75
- confidence: high
- sec_items: 1.01, 2.01, 2.03, 5.02, 9.01
- EDGAR index: https://www.sec.gov/Archives/edgar/data/1477009/000121390025079941/0001213900-25-079941-index.htm
- EDGAR primary document: https://www.sec.gov/Archives/edgar/data/1477009/000121390025079941/ea0254045-8k_treescorp.htm

## Machine-readable alternates
- HTML: https://secwatch.observer/filing/0001213900-25-079941
- JSON: https://secwatch.observer/filing/0001213900-25-079941.json
- Plain text: https://secwatch.observer/filing/0001213900-25-079941.txt

## Key facts
- M&A Transactions
  TREES Corp (Colorado) completed an acquisition involving Beddor Claude LLC d/b/a Chronic Therapy for $1,704,827.87 (adjusted from original purchase price to reflect a purchase price adjustment in favor of the Company) (closed 2025-06-30).
  - Action: acquisition
  - Counterparty: Beddor Claude LLC d/b/a Chronic Therapy
  - Consideration: $1,704,827.87 (adjusted from original purchase price to reflect a purchase price adjustment in favor of the Company)
  - Closing: 2025-06-30
  source text: to operate a cannabis dispensary and a cannabis cultivation as well as related assets in Wheat Ridge, Colorado. Upon the closing, the Company paid an aggregate amount of $1,704,827.87 (adjusted from original purchase price to reflect a purchase price adjustment in favor of the Company), $262,500 of which was delivered into escrow as a holdback against potential
  evidence_url: https://www.sec.gov/Archives/edgar/data/1477009/000121390025079941/0001213900-25-079941-index.htm

This AI-assisted summary is a reading aid. Review the linked SEC EDGAR filing before relying on any specific claim.