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GTI To Raise $100M Via Public Offering Of Its Shares

February 9, 2021 11:15 am
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GTI To Raise $100M Via Public Offering Of Its Shares

Cannabis consumer packaged goods company Green Thumb Industries Inc. (CSE:GTII) (OTCQX:GTBIF) is poised to secure some $100 million in financing through the public offering of its shares.

The Chicago-based company announced it's potentially selling up to 10 million of its subordinate voting shares.

According to the company's update, some 3.1 million shares are already sold to an undisclosed institutional investor at $32.03 per share.

Green Thumb confirmed the sale is expected to close on Tuesday, Feb. 9.

The company intends to use proceeds from the offering to boost its capitalization and financial flexibility.

"This investment reflects the very real interest, understanding, and momentum behind the potential $100 billion U.S. cannabis opportunity that is happening now," Green Thumb CEO Ben Kovler disclosed.

He emphasized that the cannabis industry will "unleash the true economic and social growth potential" once it gains a "more meaningful access to capital."

"The next step should be allowing U.S. cannabis companies to formally list on major U.S. exchanges just like our Canadian counterparts," Kovler said.

Meantime, Kovler was just one of several cannabis industry experts ETF manager Tim Seymour mentioned recently on the Benzinga Cannabis Hour while discussing 2021 trends.

"Some serious management teams are coming in a time when the landscape in terms of legislation is very bullish," Seymour said, pointing out that "leadership is coming from profitability."

As of yesterday, the cannabis industry is richer for yet another organization poised to advance cannabis reform.

The U.S. Cannabis Council, a nonprofit organization dedicated to promoting cannabis legalization, has officially launched on Monday.

The alliance represents a "unified voice advocating for the descheduling and legalization of cannabis," USCC Interim CEO and founding member Steven Hawkins explained.