Organigram Completes $49 Million ATM Financing In Just Two Months

As predicted, Organigram Holdings (TSX: OGI) (NASDAQ: OGI) has already completed its at-the-market equity program announced back in April. Despite stating that the program was valid for a period of nearly two years, the program has been completed in just two months – indicating the company likely continues to churn through cash.

Initially announced of April 22, the funding was for gross proceeds of $49.0 million. Initially scheduled to expire December 25, 2021, we highlighted at the time of announcement that it was likely to be fully used in short order due to compliance issues related to certain debt covenants.

In total, 21,080,229 common shares of the company were dumped on to investors directly via the public markets as the company looks to raise funds to cover capital projects, repay debts, and for general corporate purposes.

Furthermore, the company also announced that it is having some trouble surrounding its Trailer Park Boys branded cannabis with Health Canada. Although specifics were not provided, the company is “making some changes to its newly launched brand and logo” while “exploring options for a permanent logo and brand name combination for its large format value brand.” The wording of the text suggests it will be dropping the collaboration.

Finally, the company also identified that it was named in a class action lawsuit filed in Alberta seeking damages from many of Canada’s largest cannabis companies. Further details were not provided.

Organigram Holdings last traded at $1.86 on the Nasdaq.


Information for this briefing was found via Sedar and Organigram Holdings. The author has no securities or affiliations related to this organization. Not a recommendation to buy or sell. Always do additional research and consult a professional before purchasing a security. The author holds no licenses.

Video Articles

200 Grams of Gold And 21% Copper — That’s Not Normal | Matt Wilson – Sterling Metals

Silver at $100? This Time It Might Stay There. | David Morgan

Critical Minerals Are Rerating! | John Passalacqua – First Phosphate

Recommended

Steadright Enters MOU To Acquire Historic Goundafa Polymetallic Mine In Morocco

Military Seizes Power in Madagascar After President Flees

Related News

Organigram Sees BAT Plan To Increase Stake To 45% With $124 Million Investment

While Canopy Growth (TSX: WEED) may have lost the interest of its major investor Constellation...

Monday, November 6, 2023, 09:04:39 AM

Organigram Reports Q2 Net Revenues Of $14.6 Million, Net Loss Of $66.4 Million

Revenues continue to decline for Organigram Holdings (TSX: OGI) (NASDAQ: OGI). The company this morning...

Tuesday, April 13, 2021, 07:53:35 AM

Organigram Reports Q2 2022 Revenues Of $30.4 Million, Positive Gross Margins

Organigram Holdings (TSX: OGI) has finally done it. The company has finally posted a positive...

Tuesday, January 11, 2022, 08:19:13 AM

Week Ahead: Big Name Earnings To Dominate The Headlines

The upcoming week is going to be a busy one, as markets await first quarter...

Sunday, April 11, 2021, 05:30:00 PM

Raymond James Reiterates $6 Price Target On Organigram Holdings

On April 6th, Organigram Holdings (TSX: OGI) (NASDAQ: OGI) announced that they acquired cannabis 2.0...

Thursday, April 8, 2021, 10:37:00 AM