Company: VREOF
Filing Date: 2025-10-08
Form Type: 8-K
Source: 0001104659-25-097924
Chunk: 0

Company: Vireo Growth Inc.
Filing Date: 2025-10-08
Form: 8-K
Item: Item 1.01
Chunk 0
---
Item 1.01.      Entry into a Material Definitive Agreement  

On October 2, 2025, Vireo Growth Inc. (the
“ Company”), entered into Convertible Note Secondary Sale and Purchase Agreements (the “ Note Purchase Agreements”)
with several holders (the “ Noteholders”) of those certain 13% Senior Secured Convertible Notes due December 7, 2026 (the
“ Notes”) of Medicine Man Technologies, Inc. d/b/a Schwazze, a Nevada corporation (“ Schwazze”). The Notes,
which have a value of approximately $91,000,000, consisting of principal and accrued interest, are being acquired for total consideration
of approximately $62,000,000. The Notes to be purchased by the Company represent approximately 86% of the total outstanding Notes. The
consideration will be paid in the form of the Company’s subordinate voting shares at closing at a deemed price per share of $0.54
(the “ Shares”). The purchases are expected to close by October 31, 2025, and are subject to approval by the Canadian
Stock Exchange.

The Notes accrue interest at a rate equal to 13%
per annum. Interest on the Notes is payable quarterly on March 31, June 30, September 30 and December 31 of each year.
The Notes mature on December 7, 2026 (the “ Maturity Date”), and, on the Maturity Date, Schwazze is obligated to pay holders
of the Notes $1.00 in cash for each $1.00 principal amount of Notes held, together with accrued and unpaid interest to, but not including
the Maturity Date on such Notes. Schwazze’s obligations under the Notes are secured by (i) a junior security interest in the
assets of PBS Holdco LLC, a wholly-owned subsidiary of Schwazze, Schwazze’s Colorado manufacturing operation, 36 acres of land in
Huerfano County, Colorado owned by Schwazze and substantially all of the assets owned by SBUD LLC, a wholly-owned subsidiary of Schwazze,
and (ii) a first priority security interest in all assets owned by Schwazze and all of its direct or indirect subsidiaries on or
after December 7, 2021.

Schwazze is currently in default on its payment
obligations under the Notes. Chicago Atlantic Admin, LLC serves as collateral agent under the Indenture governing the terms of