Sundial Growers Closes $74.5M Offering After Being Targeted By WallStreetBets

Sundial Growers Inc. SNDL closed a share offering valued at roughly $74.5 million this week. 

The Calgary, Canada-based company currently has some $610 million in cash, in addition to marketable securities and loans receivable of approximately $61 million, and approximately 1.56 billion common shares outstanding.

See also: How to Buy Sundial Growers (SNDL) Stock

Deal Breakdown

Sundial unveiled a registered offering of 60.5 million Series A Units sold at a price of about $1 each.

Some 14 million Series B Units were sold at a price of $1 each, minus $0.0001.

The remaining exercise price of each Series B Warrant is equal to US$0.0001 per common share, according to a release.

The exercise price of the company's Series A Warrants is equal to $1.10 per common share.

A warrant gives the stock holder the right to buy a company's stock at a specific price and at a specific date.

Sundial's Week

Sundial shares closed nearly 48.5% higher on Monday, dipped Tuesday, but spiked 16% on Wednesday

By Thursday, the company's shares opened at $1.25 each. By 3:20 p.m. EST, they hovered $1.17 per share. 

The company was once dubbed a "unicorn" due to its valuation, which at one point hovered at $1 billion. 

These days, Sundial is among a list of so-called “meme stocks” in the crosshairs of Reddit investor group r/WallStreetBets investors, as compiled by Swaggy Stocks.

See also: How to Invest in Cannabis Stocks

The  r/WallStreetBets group has over 8 million members and recently grabbed headlines for buying shares of companies such as GameStop Corp. GME and AMC Entertainment Holdings Inc. AMC, which are similarly heavily shorted.

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