TerrAscend Conducts $224 Million Financing Largely Sourced From US Institutions
TerrAscend Corp (CSE: TER) is the latest US cannabis operator to announce a significant capital raise following the Democrat’s sweep south of the border. The company this morning announced an over subscribed private placement to raise gross proceeds of C$224 million.
The financing will see the sale of a total of 18.1 million common shares of its equity at a price of $12.35 per common share. No warrant is to be issued in connection with the offering. Commitments reportedly come largely from four large US institutional investors, with roughly 80% of the total financing reportedly being sourced from the four groups.
Proceeds from the financing are to be used for accelerating existing expansion plans and pursuing M&A transactions in additional limited license states. The offering follows the recently announced $120 million debt transaction conducted by the company conducted just last month to fund an earn-out payment for its acquisition of Ilera.
The current financing is anticipated to close by January 26, 2021.
TerrAscend Corp last traded at $13.53 on the CSE.
Information for this briefing was found via Sedar and TerrAscend Corp. 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.
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.
