Company: GROVW
Filing Date: 2025-08-07
Form Type: 10-Q
Source: 0001628280-25-038957
Chunk: 296

Company: Grove Collaborative Holdings, Inc.
Filing Date: 2025-08-07
Form: 10-Q
Item: Part I, Item 8
Chunk 296
---
 31, 2023 included in Form 10-K filed with the SEC on March 19, 2025.

Loan Facility

On March 10, 2023, we entered into a Loan and Security Agreement (the “Siena Revolver”) with Siena Lending Group, LLC which permits us to receive funding through a revolving line of credit with an initial commitment of $35.0 million. The borrowing capacity under the Siena Revolver, as modified by the third amendment to the Siena Revolver (“Amendment No. 3”), is subject to certain conditions, including our inventory and accounts receivable balances and other limitations as specified in the agreement. If at any time the amount of outstanding borrowings under the Siena Revolver exceeds the borrowing capacity, we are required to prepay borrowings sufficient to eliminate the excess. As of June 30, 2025, there was an outstanding principal amount of $7.5 million and additional borrowing capacity from the Siena Revolver was $0.4 million. 

41

The interest rates applicable to borrowings under Amendment No. 3 are based on a fluctuating rate of interest measured by reference to either, at our option, (i) a Base Rate plate 3.25% or (ii) the term Secured Overnight Financing Rate (“Term SOFR”) then in effect plus 4.25%. The Base Rate is defined as the greatest of: (1) Prime Rate as published in the Wall Street Journal, (2) federal funds rate plus 0.50% and (3) 5.00% per annum. In accordance with the agreement, Siena has been provided with our periodic financial statements and updated projections to facilitate their ongoing assessment of the Company. Under Amendment No. 3, the Siena Revolver matures on April 10, 2028.

Cash Flows 

The following table summarizes our cash flows for the periods presented:

Six Months Ended June 30,20252024Change(in thousands)Net cash used in operating activities$(5,885)$(10,769)(45.4)%Net cash used in investing activities(3,820)(906)321.6 %Net cash used in financing activities(648)(554)17.0 %Net decrease in cash, cash equivalents and restricted cash$(10,353)$(12,229)

Operating Activities 

Net cash used in operating activities of $5.9 million for the six months ended June 30, 202