aarrghh .... NR - INCREASE TO BDJust as the U curve proved true they do this ....
SMITHS FALLS, ONTARIO--(Marketwired - Aug. 8, 2016) -
THIS NEWS RELEASE IS INTENDED FOR DISTRIBUTION IN CANADA ONLY AND IS NOT INTENDED FOR DISTRIBUTION TO UNITED STATES NEWSWIRE SERVICES OR DISSEMINATION IN THE UNITED STATES.
Canopy Growth Corporation (TSX:CGC) ("Canopy Growth" or the "Corporation") is pleased to announce that, due to strong demand, it has agreed with a syndicate of underwriters led by GMP Securities L.P. and Dundee Securities Ltd. (the "Co-Lead Underwriters"), and including INFOR Financial Inc. and PI Financial Corp. (collectively with the Co-Lead Underwriters, the "Underwriters"), to increase the size of its previously announced $25,000,000 bought deal offering. Pursuant to the upsized deal terms, the Underwriters have agreed to purchase, on a bought deal basis, 8,220,000 common shares (the "Common Shares") of the Corporation at a price of $3.65 per Common Share (the "Offering Price") for aggregate gross proceeds to Canopy Growth of $30,003,000 (the "Offering").
The Company has agreed to grant the Underwriters an over-allotment option to purchase up to an additional 1,233,000 Common Shares at the Offering Price, exercisable in whole or in part, at any time on or prior to the date that is 30 days following the closing of the Offering. If this option is exercised in full, an additional $4,500,450 in gross proceeds will be raised pursuant to the Offering and the aggregate gross proceeds of the Offering will be $34,503,450.
The Common Shares will be offered by way of a short form prospectus to be filed in all provinces of Canada (except Quebec). The Company intends to use the net proceeds from the Offering for working capital and general corporate purposes. The Offering is expected to close on August 24, 2016 and is subject to certain conditions including, but not limited to, the receipt of all necessary regulatory and stock exchange approvals, including the approval of the Toronto Stock Exchange and the applicable securities regulatory authorities.
The securities being offered have not been, nor will they be, registered under the United States Securities Act of 1933, as amended, and may not be offered or sold in the United States or to, or for the account or benefit of, U.S. persons absent registration or an applicable exemption from the registration requirements. This press release shall not constitute an offer to sell or the solicitation of an offer to buy nor shall there be any sale of the securities in any State in which such offer, solicitation or sale would be unlawful.
About Canopy Growth Corporation
Canopy Growth is a world-leading diversified cannabis company, offering diverse brands and curated cannabis strain varieties in dried and oil extract forms. Through its wholly-owned subsidiaries, Tweed, Tweed Farms, and Bedrocan Canada, Canopy Growth operates three state-of-the-art production facilities with over half a million square feet of indoor and greenhouse production capacity. Canopy Growth has established partnerships with leading sector names in Canada and abroad. For more information please visit www.canopygrowth.com.