Cannabis company The Flowr Corp. FLWPF raised a total of $15.9 million by selling units.
Under the bought deal offering, the Toronto-based company issued 31.13 million units with a price of 51 cents per unit.
Cantor Fitzgerald Canada Corp. was the only bookrunner and the lead underwriter, while ATB Capital Markets Inc., Canaccord Genuity Corp., and Echelon Wealth Partners Inc. were the remaining underwriters.
Each unit from the offering contains one share of the company and one full share purchase warrant. Each warrant enables the holder thereof to buy one share at a price of 64 cents per share in the next two years.
Under the partial exercise of the over-allotment option given to the underwriters, extra 3.27 million units remain exercisable by the underwriters at the issue price, in the following thirty days.
Flowr noted that the underwriters were paid a cash amount equivalent to 7% of the collected gross proceeds and obtained unit purchase warrants of the company, equivalent to 6% of the number of units sold. Each underwriter’s warrant enables the holder to buy one share at the issued price in the next two years.
The company plans to utilize the net proceeds from the offering for standard corporate activities.
© 2024 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
Trade confidently with insights and alerts from analyst ratings, free reports and breaking news that affects the stocks you care about.
The Benzinga Cannabis Capital Conference is coming to Florida
The Benzinga Cannabis Capital Conference is returning to Florida, in a new venue in Hollywood, on April 16 and 17, 2024. The two-day event at The Diplomat Beach Resort will be a chance for entrepreneurs, both large and small, to network, learn and grow. Renowned for its trendsetting abilities and influence on the future of cannabis, mark your calendars – this conference is the go-to event of the year for the cannabis world.
Get your tickets now on bzcannabis.com – Prices will increase very soon!