The Supreme Cannabis Company (TSX: FIRE) this afternoon filed paperwork with Sedar indicating that the company will be conducting an at-the-market offering with the BMO Nesbitt Burns for a total figure of $9.75 million. The financing is to take effect April 24, 2020.
The paperwork filed indicates that funds will be utilized for general corporate purposes, working capital needs and capital expenditures, and repayment of indebtedness. Any monies raised under the offering will be subject to a 2.0% fee payable to the Bank of Montreal.
The Surpreme Cannabis company is the latest in a series of public cannabis firms to utilize an at-the-market offering, with Organigram Holdings (TSX: OGI) (NASDAQ: OGI) also announcing such an offering this week, however the raise was for $49.0 million. Aurora Cannabis (TSX: ACB) (NYSE: ACB) also recently announced such an offering, however that figure was pegged at $250 million.
The Supreme Cannabis Company last traded at $0.28 on the TSX.
Information for this analysis was found via Sedar and Supreme Cannabis. 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.
As the founder of The Deep Dive, Jay is focused on all aspects of the firm. This includes operations, as well as acting as the primary writer for The Deep Dive’s stock analysis. In addition to The Deep Dive, Jay performs freelance writing for a number of firms and has been published on Stockhouse.com and CannaInvestor Magazine among others.