RE:RE:RE:RE:RE:TILRAY DOWN HUGE AFTER HOURS ON DILUTED DEAL📣📣📣Launch64 wrote: Canopy is not issuing new equity, a stock split is different.
Eg. 1 share worth $60 will become 3 shares worth $20. If split 3-1.
Peace
I believe you must be confused here since Canopy has not yet declared a stock split, even though such a move had been approved by shareholders in a vote held a few months ago.
Yes indeed, Canopy will be issuing new equity in the form of an additional 100 million plus brand spanking new shares to Constellation in order to fulfill their part of the deal with Constellation.
This will result in an instant increase in the market cap of Canopy, un;ess the share price comes down in response to these additional new shares. In theory they should not, because Canopy will now have an additional $4.5B in cash which they did not have before.