Trulieve Cannabis Corp (CSE: TRUL) may seen a swath of free trading warrants exercised over the course of the next two weeks. The company this morning announced that the warrants, which currently trade under the symbol “TRUL.WT” on the Canadian Securities Exchange, will be subject to certain changes as of January 1, 2021.
The changes to take effect are in relation to the July 14, 2020 announcement that the company is transitioning to a US domestic issuer as of January 1, 2021. The impact for current warrant holders, is that any warrants exercised after January 1 are subject to a new restrictive legend subject to a modified warrant indenture.
The new restrictive legend will outline that warrant shares can only be transferred or sold under an effective registration statement, or via an exemption from the registration requirements of US securities laws.
The short of it, is that any warrants exercised after January 1, 2021 will see the warrants subject to a holding period of at least six months post-exercise. The impact, is that we will likely see an influx of warrants converted prior to the start of the new year, given that the warrants are currently well in the money, with the warrants having an exercise price of C$17.25 per share, or US$13.47 per share.
Trulieve Cannabis Corp last traded at $41.10 on the CSE.
Information for this briefing was found via Sedar and Trulieve Cannabis 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.
One Response
hey DeepDive,
Thanks for all the info you have on your site – as an investor willing to pick up a new position in TRUL. do you think based on recent equity price vs. warrants, what would be the best bang for one’s buck at this point in time?
I know 2021 will be huge for all the US MSOS but this is the only one I really missed out on