Westleaf Inc (TSXV: WL) provided an update to the market this morning in relation to its proposed merger with We Grow BC. Westleaf has now formally acquired the required approvals from certain debenture holders in relation to the transaction, with over 66% of debt holders providing approval for the merger, while certain terms have been modified.
In addition to receiving the first steps of approval for the transaction, certain terms have also been amended. Primarily, We Grow BC will no longer be required to raise a minimum amount of funds prior to the transaction closing. Previously, We Grow was required to conduct a minimum financing of $3.0 million at a price of $0.30 per share.
No information was provided on the justification for the amended terms, whether it was in relation to acquiring shareholder approval or market sentiment is unclear.
Required filings have been published on Sedar as well in relation to the transaction. The merger agreement is expected to close by December 20, 2019, with the corresponding shareholders meeting to take place two days prior.
Westleat last traded at $0.20 on the TSX Venture.
Information for this analysis was found via Sedar and Westleaf Inc. 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.
