Sunday, June 1, 2025

Latest

WeedMD to Raise $10 Million Through Bought Deal

WeedMD Inc (TSXV: WMD) announced after the bell last night that it will be raising $10 million through a bought deal with Mackie Research and a syndicate of underwriters. The raise is expected to be one of the last before the issuer reaches cash flow positive operations.

Taking the form of a convertible debenture, the raise consists of $1,000 units that bear interest at a rate of 8.5% per annum, maturing three years from the date of issue. Each unit comes with 625 common share purchase warrants with an exercise price of $1.80, and a term of three years. The debentures themselves are convertible into common shares of WeedMD at a price of $1.60 per share. A forced conversion clause is also included, allowing the firm to force conversion if the volume weighted average price exceeds $3.20 per share for a period of twenty days.

WeedMD has indicated that the proceeds from the raise will be utilized for working capital and general corporate purposes.

WeedMD’s outdoor crop as of August 26, 2019.

WeedMD reported its latest financials last week, posting revenue growth of 139% on a quarter over quarter basis with net revenues of $7.97 million. The firm reported a cash position of $11.34 million, with many industry followers anticipating a raise to be conducted in the near term to sustain ongoing operations and growth.

On the most recent conference call, Chief Financial Officer Nichola Thompson had indicated planned CapEx spend of roughly $8.8 million through to year end. Funds were indicated to be put towards the processing facility for the outdoor harvest, as well as for the development of CX Industries at WeedMD’s Alymer, Ontario facility. It is believed that the funds from the announced convertible debentures will be put towards the planned capital expenditures.

WeedMD closed yesterdays session at $1.56 on the TSX Venture Exchange.


FULL DISCLOSURE: WeedMD is a client of Canacom Group, the parent company of The Deep Dive. The author has been compensated to cover WeedMD on The Deep Dive, with The Deep Dive having full editorial control. Not a recommendation to buy or sell. Always do additional research and consult a professional before purchasing a security.

Video Articles

Alamos Gold Q1 Earnings: The Inside Scoop

Cerrado Gold Q4 Earnings: The Turnaround is Working

B2GOLD Q1 Earnings: Revenue Up, Production & Cash Flow Decline

Recommended

Canadian Copper: The $172M Combined Strategy PEA

ESGold Begins Concentration Tests Ahead Of First Production

Related News

WeedMD Gets Health Canada Approval for New Packaging Lines at Aylmer Facility

Toronto, Canada, May 27, 2019– WeedMD Inc. (TSX-V:WMD) (OTCQX:WDDMF) (FSE:4WE) (“WeedMD” or the “Company”), a...

Monday, May 27, 2019, 09:07:24 AM

WeedMD Reports Second Quarter Revenue of $7.97 Million, Positive Net Income

WeedMD Inc (TSXV: WMD) reported revenues after the bell this evening, recording net revenues of...

Wednesday, August 28, 2019, 05:55:03 PM

WeedMD To Acquire Starseed Holdings In All Stock Transaction

WeedMD Inc (TSXV: WMD) announced this afternoon that the firm will be acquiring Bowmanville, Ontario...

Friday, November 29, 2019, 05:26:22 PM

The WeedMD – Starseed Deal Is Confusing This Market With Its Simplicity

The author formerly known as Matthew Cox writes for The Deep Dive under a contract...

Tuesday, December 3, 2019, 09:40:58 AM

WeedMD Closes Over Subscribed Financing for $13.1 Million

WeedMD Inc (TSXV: WMD) announced this morning the closing of its $12 million bought deal...

Wednesday, September 25, 2019, 09:34:26 AM