Newstrike Brands Ltd NWKRF

Question

[seanzy]

The following is some news I read on my trading app. It says that CMED offers 0.33 shares for each HIP share... is this correct?

04:40 PM EST, 01/17/2018 (MT Newswires) -- Newstrike Resources (HIP.V), the cannabis producer backed by one of Canada's most popular bands, The Tragically Hip, said after market close Wednesday its shareholders overwhelmingly backed medical-marijuana producer CanniMed Therapeutics' (CMED.TO) all-share acquisition offer, even as CanniMed faces itself faces down a rival bid from Aurora Cannabis (ACB.TO). The possibility of Aurora succeeding with its bid -- ACB has been buying shares almost daily -- may have weighed on HIP today. It lost more than 16%.

Newstrike, which has partnered with The Hip, as often known, said more than 99% of shares were voted in favor of selling the company to CanniMed, which offered 0.33 of its own shares for each Newstrike share.

But CanniMed's battle with Aurora has become increasingly bitter battle. Last week, CanniMed launched a $725 million lawsuit against its suitor. Aurora has said its bid is contingent on CanniMed not proceeding with the Newstrike acquisition but has not yet commented following the Newstrike vote.

Newstrike shares fell $0.22, or 16% to $1.12 Wednesday on the TSX Venture Exchange while CanniMed rose $2.66, or 11%, to $27.82 and Aurora rose $0.41, or 3.4% to $12.32 on the Toronto Stock Exchange.

[Swampcat27]

yes i believe its is true. This question has been asked and answered at least 20 times in the last 2 wks ..

[seanzy]

Wouldn't that value HIP shares @ like 8 dollars?

[Rockpaperstock]

LOL....I don't know what you've been smokin' but..... no :D

[seanzy]

26 multipled by 0.33. im trying to understand if this is a typo. still not changed on the article

[VENMan]

@seanzy it's .033 Dude, not .33. $26 Cmed Per Share X .033 = .86 cents per HIP Share. So 100,000 shares of HIP gets you 3,300 shares of CMED (100,000 HIP shares X .033 = 3,300 shares of HIP). 1,000 Shares of HIP gets you 33 shares of CMED. Whatever shares of HIP you have multiple by .033. So 550 shares of HIP = 18.15 shares of CMED ( 550 HIP Shares X .033 = 18.15 shares of CMED). and YUP, HIP

[RODBUSTER]

Ouch and why, who voted yes for this

[Duxing]

My god! It is 0.03333..... 

[seanzy]

Had to check to be sure. Article gave me a heart attack!

[MNK3240]

if it was 0.33 (instead of 0.033), everyone would be so excited that HIP share price would be $8/$10 today. Unfortunately, it is 0.033 and that’s why HIP is in deep s**t.

[seanzy]

Other articles are now saying the 33 shares for 1000 HIP. So yes it was a typo.. was about to pop some champagne hahaha. looks like ill be popping tap water though.

[VENMan]

Awe seanzy, i feel for you. CMED Shareholders vote on the deal tuesday Jan 23 and maybe the vote may come back that CMED goes with ACB and HIP is off the hook and then HIP shares will pop, which is better than the champagne but on that pop sell and get some of your money back. Good luck. All IMO!  

[HansonLockyer]

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