Current Report Filing (8-k)
November 14 2018 - 6:07AM
Edgar (US Regulatory)
UNITED
STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 8-K
CURRENT REPORT
Pursuant to Section 13 or 15(d)
of
The Securities Exchange Act of 1934
Date of Report (Date of earliest event reported):
November 9, 2018
KUSHCO
HOLDINGS, INC.
(Exact name of registrant as specified in
its charter)
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Nevada
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000-55418
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46-5268202
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(State or other jurisdiction
of incorporation)
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(Commission File Number)
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(IRS Employer Identification No.)
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11958 Monarch Street, Garden Grove, CA
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92841
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(Address of principal executive offices)
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(Zip Code)
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Registrant's telephone number, including
area code:
(714) 243-4311
(Former name or former address, if changed
since last report)
Check the appropriate box below if the Form 8-K filing is intended
to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:
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Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)
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Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)
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Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))
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Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))
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Indicate by check mark whether the registrant is an emerging
growth company as defined in Rule 405 of the Securities Act of 1933 (§230.405 of this chapter) or Rule 12b-2 of the Securities
Exchange Act of 1934 (§240.12b-2 of this chapter).
Emerging growth company
x
If an emerging growth company, indicate by check mark if the
registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards
provided pursuant to Section 13(a) of the Exchange Act.
x
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Item 1.01.
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Entry into a Material Definitive Agreement.
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On November 9, 2018, KushCo Holdings, Inc. (the “Company”)
and KIM International Corporation, a wholly owned subsidiary of the Company (“KIM”) as borrowers, entered into a Second
Amendment (the “Second Amendment”) with Gerber Finance Inc. (“Gerber”) to the Loan and Security, dated
as of November 6, 2017, by and among the Company, KIM and all of the Company’s other subsidiaries (as amended, the “Loan
Agreement”).
Pursuant to the Second Amendment, the aggregate principal amount
of the secured revolving credit facility under the Loan Agreement was increased to $8.0 million. Additionally, subject to certain
exceptions, the face amount of any outstanding letters of credit, at any time outstanding cannot exceed the lesser of (i) 25% of
the value of certain inventory (increasing to 40% upon receipt of certain landlord waivers) and (ii) 50% of certain accounts receivable.
The foregoing description of the Second Amendment is qualified
in its entirety by reference to the Second Amendment, a copy of which is included as Exhibit 10.1 hereto, and which is incorporated
herein by reference.
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Item 2.03.
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Creation of a Direct Financial Obligation or an Obligation Under an Off-Balance Sheet Arrangement of a Registrant.
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The disclosure set forth above under Item 1.01 is hereby incorporated
by reference into this Item 2.03.
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Item 9.01.
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Financial Statements and Exhibits.
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SIGNATURE
Pursuant to the requirements of the Securities
Exchange Act of 1934, as amended, the Registrant has duly caused this report to be signed on its behalf by the undersigned hereunto
duly authorized.
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KUSHCO HOLDINGS, INC.
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(Registrant)
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November 13, 2018
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/s/ Nicholas Kovacevich
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(Date)
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Nicholas Kovacevich
Chairman and Chief Executive Officer
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INDEX TO EXHIBITS