Jimmy713 wrote: The Company Board unanimously recommends that the Company Shareholders vote in favour of the Arrangement Resolution, and the HEXO Debenture Conversion Resolution. If you have not cast your vote, you have until the proxy cut-off time of 10:00 a.m. (Vancouver time) on May 11, 2021, to vote your shares. The Circular is available under the Company’s SEDAR profile
here.
If you require assistance with voting, please contact our strategic shareholder advisor and proxy solicitation agent, Kingsdale Advisors, by telephone at 1-866-581-0512 (toll-free in North America) or at 1-416-867-2272 outside of North America, or by email at
contactus@kingsdaleadvisors.com.
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Dear Zenabis Shareholder,
On February 16, 2021, Zenabis Global Inc. (the "Company") entered into a definitive arrangement agreement (the "Arrangement Agreement") with HEXO Corp. ("HEXO"), pursuant to which HEXO will acquire, by way of a proposed plan of arrangement, all of the Company's issued and outstanding common shares in an all-share transaction (the "Arrangement").
Your vote is important no matter how many shares you own. In order for the special resolution (the "Arrangement Resolution") to be effective, it must be approved by at least two-thirds of the votes cast by Company Shareholders virtually present or represented by proxy at the Meeting.
Under the terms of the Arrangement Agreement, if the Arrangement becomes effective, the holders of common shares of the Company ("Company Shareholders") will receive 0.01772 (the "Exchange Ratio") of a common share of HEXO ("HEXO Shares") for each common share of the Company ("Company Share") held. The Exchange Ratio values Zenabis Shares at a premium of 16.32%, based on the 20-day VWAP of the Company Shares on the TSX and HEXO Shares on the TSX as of February 15, 2021. Zenabis shareholders will benefit from ownership in a larger, stronger company focused on cannabis production. Based on HEXO’s and Zenabis’ most recent interim quarterly financial statements and results, and those of the other top licensed producers in Canada, the combined organization would be a top three licensed producer in terms of combined Canadian recreational cannabis sales.