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Jushi Holdings Raises $51M To Support Virginia Facility Acquisition

February 10, 2021 1:32 pm
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Jushi Holdings Raises $51M To Support Virginia Facility Acquisition

Jushi Holdings Inc. (CSE:JUSH) (OTCQB:JUSHF) priced its overnight marketed offering of a total of 6.5 million subordinate voting shares at a price of CA$10 per share, for total gross proceeds of CA$65 million (US$51 million).

The securities from the offering will be presented in each of the Provinces of Canada, except for Québec, and in the U.S. on a private placement basis.

Vertically-integrated cannabis company projects for the offering to close on Feb. 12.

Canaccord Genuity Corp. was named the only bookrunner for the offering.

Furthermore, Jushi has provided the underwriters with a 30-day right to buy up to an extra 15% of the offered securities following the offering on the same terms.

The company plans to utilize the collected net proceeds to support its potential strategic activities, such as the purchase of a 93,000 square-foot facility in Prince William County, Virginia, run by the company’s subsidiary. Jushi projects for the costs of the acquisitions to reach around $20 million.

It will also use the net proceeds to fund its other business expansion plans, purchases, and standard corporate practices.

Furthermore, the company plans to utilize up to 33% of the net proceeds to cover its outstanding senior secured notes to some degree.