Sundial Growers Files For US$800 Million At-The-Market Offering

Sundial Growers (NASDAQ: SNDL) this morning filed a prospectus supplement with the US Securities and Exchange Commission. The prospectus outlines the terms for an at-the-market financing that will see gross proceeds of up to $800 million raised for the company.

In layman terms, the equity will see shares of its equity sold directly on the Nasdaq by the firms agents, rather than going through the process of private placements or overnight marketed offerings. The financing is being conducted by ATB Capital Markets and Canaccord Genuity, via an equity distribution agreement dated March 22, 2021.

The offering currently estimates that it will add approximately 519.5 million new shares to the firms share structure, bringing the total outstanding share count to 2,179.7 million based on current market prices of its equity. That figure is subject to change however based on the performance of the firms equity price.

Proceeds from the offering will be used for working capital and general corporate purposes, as well as possible acquisitions, or investments.

The US$800 million at the market equity offering is being conducted under the firms US$1.0 billion shelf prospectus that is currently outstanding.

Sundial Growers last traded at $1.34 on the Nasdaq.

Information for this briefing was found via Sedar and the companies mentioned. 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.

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