AYR Wellness Provides Update on Senior Note Interest Payment

Rhea-AI Summary

AYR Wellness (OTCQX: AYRWF), a leading U.S. multi-state cannabis operator, announced it has missed its June 30, 2025 interest payment on its outstanding senior notes. If the payment is not made by July 30, 2025, it will trigger an event of default.

The company's Interim CEO Scott Davido stated this is a strategic step in their ongoing debt restructuring efforts. AYR is currently in discussions with majority noteholders regarding capital structure alternatives as part of a broader strategic review announced on May 30, 2025. The company maintains that the missed interest payment is not expected to impact its operational capabilities.

Positive

• Company maintains strong working relationship with majority noteholders
• Strategic debt restructuring could improve capital structure
• Business operations expected to continue without disruption

Negative

• Missed interest payment on senior notes
• Risk of default if payment not made by July 30, 2025
• Company undergoing financial restructuring indicating potential financial distress

News Market Reaction

+5.25%

1 alert

+5.25% News Effect

On the day this news was published, AYRWF gained 5.25%, reflecting a notable positive market reaction.

Data tracked by StockTitan Argus on the day of publication.

MIAMI, July 02, 2025 (GLOBE NEWSWIRE) -- AYR Wellness Inc. (CSE: AYR.A, OTCQX: AYRWF) (“AYR” or the “Company”), a leading vertically integrated U.S. multi-state cannabis operator, today confirms that it did not make the interest payment due on June 30, 2025 (the “Interest Payment”) in connection with the outstanding senior notes (the “Notes”) issued pursuant to its Amended and Restated Trust Indenture dated February 7, 2024. Should the Company not make the Interest Payment on or prior to July 30, 2025, that will result in an event of default in respect of the Notes.

“Today’s news reflects an appropriate step in our ongoing restructuring of our debt profile. As we continue the strategic review of our business and explore pathways to achieve the right capital structure, we continue to maintain a strong working relationship with the holders of a majority of our outstanding Notes,” said Scott Davido, Interim Chief Executive Officer of the Company.

As announced by the Company on May 30, 2025, the Company is actively engaged in discussions with the holders of a majority of the outstanding Notes regarding the exploration of capital structure alternatives as part of a broader review and assessment of other strategic alternatives.

The Company does not anticipate that the missed Interest Payment will result in any operational challenges with respect to its business.

Forward-Looking Statements
Certain statements contained in this news release may contain forward-looking information or may be forward-looking statements (collectively, "forward-looking statements") within the meaning of applicable securities laws. Forward-looking statements are often, but not always, identified by the use of words such as "target", "expect", "anticipate", "believe", "foresee", "could", "would", "estimate", "goal", "outlook", "intend", "plan", "seek", "will", "may", "tracking", "pacing" and "should" and similar expressions or words suggesting future outcomes. This news release includes forward-looking statements pertaining to, among other things, statements regarding AYR’s ongoing discussions with holders of its senior notes, the exploration of capital structure alternatives, the review and assessment of other strategic alternatives, the Company making the Interest Payment by July 30, 2025 and the Company’s expectation that the missed Interest Payment will not result in operational challenges with respect to the Company’s business. Numerous risks and uncertainties could cause actual events and results to differ materially from the estimates, beliefs and assumptions expressed or implied in the forward-looking statements. Forward-looking statements involve known and unknown risks and uncertainties that may cause actual results to differ materially from those anticipated. AYR has no intention, and undertakes no obligation, to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, except as required by law.

About AYR Wellness Inc.
AYR Wellness is a vertically integrated, U.S. multi-state cannabis business. The Company operates simultaneously as a retailer with 90+ licensed dispensaries and a house of cannabis CPG brands.

AYR is committed to delivering high-quality cannabis products to its patients and customers while acting as a Force for Good for its team members and the communities that the Company serves. For more information, please visit www.ayrwellness.com.

Company/Media Contact:
Robert Vanisko
SVP, Public Affairs
T: (786) 885-0397
Email: comms@ayrwellness.com

Investor Relations Contact:
Sean Mansouri, CFA
Elevate IR
T: (786) 885-0397

FAQ

What happened to AYR Wellness (AYRWF) interest payment on June 30, 2025?

AYR Wellness failed to make its scheduled interest payment on its senior notes due June 30, 2025, and has until July 30, 2025 to make the payment before triggering an event of default.

Why did AYR Wellness miss its interest payment?

The missed payment is described as a strategic step in the company's ongoing debt restructuring efforts while they explore capital structure alternatives with majority noteholders.

What happens if AYR Wellness doesn't pay by July 30, 2025?

If AYR Wellness fails to make the interest payment by July 30, 2025, it will result in an event of default on their senior notes.

Will AYR Wellness operations be affected by the missed interest payment?

According to the company, they do not anticipate that the missed interest payment will result in any operational challenges to their business.

What strategic alternatives is AYR Wellness exploring?

AYR is actively engaged in discussions with majority noteholders regarding capital structure alternatives as part of a broader strategic review announced on May 30, 2025.