Green Growth Brands (CSE: GGB) announced that it has filed its take-over bid on Aphria Inc. (NYSE: APHA) that will commence on January 23rd.
The Offer to Purchase will be valid from January 23rd to May 9th of this year and is backed by a commitment letter with All Js Greenspace LLC.
Greenspace LLC will provide a backstop to Green Growth in the form of up to $150 million in purchased Green Growth shares. Green Growth will utilize this $150 million backdrop to meet the previously announced commitment of a $300 million equity financing. The $300 million equity financing is connected to the Offer to Purchase all of the issued and outstanding shares of Aphria.
Chief Executive Officer of Green Growth, Peter Horvath, stated: “We are pleased to officially launch our bid for Aphria. This is an exciting opportunity for shareholders of both Green Growth and Aphria to build value and create the preeminent cannabis operator in North America.” The CEO also went on to say, “The combination of Aphria’s Canadian supply and wholesale agreements with Green Growth’s vertically integrated operations and rapidly growing retail footprint in the United States best positions us to capitalize on the massive growth opportunities in North America and beyond. I encourage Aphria shareholders to tender their shares to our offer.”
The company will provide Aphria shareholders with 1.5714 common shares of Green Growth Brands (CSE: GGB) shares for each share of Aphria.
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