Greenrose Holding Co. investors sued its board and principal creditors, Silver Point Capital LP affiliates, seeking to stop them from foreclosing on the cannabis company’s assets over a $105 million loan.
The lawsuit, filed Wednesday, accuses the investment firm of exploiting its senior creditor status to squeeze Greenrose into a cash crunch, then reneging on a series of financing pledges aimed at keeping the company afloat as it prepared to enter Connecticut’s nascent market for legal pot.
Silver Point backed the company into a corner by using its board influence to block any alternative to foreclosing on Greenrose’s two operating ...
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