Stem Holdings To See Driven Deliveries Shares Converted On February 4

The final steps of Stem Holdings (CSE: STEM) acquisition of Driven Deliveries (OTC: DRVD) are now taking place following the previous close of the transaction. The company this morning announced that all outstanding shares of Driven will be converted to Stem shares as of February 4, 2021.

Upon closing, the resulting company is expected to have a consolidated market capitalization of approximately US$112 million. The all-stock transition saw shares converted on a one-for-one basis, with the resulting issuer becoming a vertically integrated cannabis operator with both e-commerce and delivery-as-a-service.

Current revenue projections for the combined company are currently projected to be US$75 million for 2021 by the company, with an expected gross profit of US$30 million. The transaction is set to be immediately accretive to the company, with a number of expansion plans set for the year, including expansion to the Oregon market.

Shares will automatically be converted to shares of Stem by brokerage firms and the Depository Trust Company, with no further actions being required by Driven shareholders. The transfer of these shares is expected to mark the formal close, as Stem Holdings continues to transition to Driven By Stem.

Driven By Stem last traded at $0.84 on the CSE.


FULL DISCLOSURE: Driven By Stem is a client of Canacom Group, the parent company of The Deep Dive. The company has been compensated to cover Driven By Stem on The Deep Dive, with The Deep Dive having full editorial control. Not a recommendation to buy or sell. Always do additional research and consult a professional before purchasing a security.

Video Articles

Is Gold’s Bull Market About to Hit Junior Stocks? | Ken Armstrong – Westhaven Gold

Surge Battery Metals: The Nevada North Lithium PEA

Silver @ $36 & We’re Still 200M Oz Short | Paul Andre Huet – Americas Gold and Silver

Recommended

Goliath Resources Closes Out Funding Round With Total Gross Proceeds Of $27.1 Million

Silver47 Kickstarts 4,000 Metre Drill Campaign At Red Mountain Project

Related News

Stem Holdings Posts Q2 Net Revenues Of $10.6 Million

Stem Holdings (CSE: STEM) continues to see its operations make gains in terms of revenue....

Tuesday, August 17, 2021, 08:38:36 AM

Stem Holdings Enters Michigan Cannabis Market

Stem Holdings (CSE: STEM) is expanding into the Michigan cannabis market. The company this morning...

Wednesday, April 28, 2021, 08:44:39 AM

Stem Holdings: Beacon Initiates With $3.00 Price Target, Buy Rating

Yesterday morning, Beacon Securities initiated coverage on Twitter’s favourite cannabis name, Stem Holdings (CSE: STEM),...

Thursday, February 25, 2021, 11:07:00 AM

Stem Holdings To Provide Delivery Services For Red White & Bloom Across California

Stem Holdings (CSE: STEM) this morning had a major announcement. The firms delivery as a...

Tuesday, March 2, 2021, 08:56:07 AM

Tinley Beverage Co & Stem Holdings Partner For Cannabis Beverage Distribution In California

The Tinley Beverage Co (CSE: TNY) is significantly improving its distribution in California for both...

Tuesday, May 25, 2021, 07:54:50 AM