TPCO Holdings Sees Management, Board Enter Lockup Agreement
TPCO Holdings (NEO: GRAM.u), whom is more commonly known as The Parent Company, this morning indicated that it is looking to bolster shareholder confidence. The company has seen roughly 36% of the outstanding shares of the issuer enter into voluntary lock-up arrangements.
The lock-up arrangements essentially stipulate that the participants will not sell their shares of the company during the agreed to time period. Notably, the arrangement also prevents participants from pledging, assigning, transferring or using the shares for swap or hedging purposes.
The arrangement has seen roughly 36 million shares of the company held by insider locked up for a six month period, which ends January 28, 2022. Shareholders agreeing to such arrangement include the firms entire board of directors, as well as select members of the executive management team, including the firms CEO, Steve Allan, as well as the CFO, COO, and certain other execs.
The company also highlights that to date, none of these insiders have sold any of the shares that they own.
Finally, the company this morning also indicated that it has entered into an employee buyback arrangement, which is expected to relieve pressure on the firms equity. Under the arrangement, the company has agreed to directly acquire shares from John Figueiredo, the President of SISU, as well as well as two other employees whom had entered into automatic share disposition plans as a means of cover tax obligations.
The arrangement will see the repurchase of up to 1.73 million shares in aggregate, after which the shares repurchased will be cancelled. The participating employees have also agreed to not sell further shares that are not involved in the buyback program under the aforementioned lock-up agreement.
TPCO Holdings last traded at US$4.09 on the Neo.
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