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Aphria Inc. APHA

Aphria, which is headquartered in Ontario, produces and sells medicinal and recreational cannabis. The company operates through retail and wholesale channels in Canada and internationally. Aphria is a main distributor of medical cannabis to Germany and has operations in over 10 countries outside of Canada. However, it does not have exposure to the U.S. CBD or THC markets due to the constraints of federal prohibition. It has some U.S. exposure through the acquisition of SweetWater, a craft brewer


NDAQ:APHA - Post by User

Post by StockDoc60on Dec 16, 2020 4:15pm
293 Views
Post# 32121372

Deal questions for board ? Appreciate some insights!

Deal questions for board ? Appreciate some insights!

1.Stock  Closing prices Dec15th :
 Aph(tsx) == 10.32. Cad

Tilray (nasdaq) == 7.87 usd/ (aprox 10.00 cad@1.27 rate )

so both stocks were almost the same price at the end of the day . If this is so why do we get a .83 exchange rate on tilray share and not closer to 1 to 1?

2. Assuming the .83 rate  is what we get and two investors hold a 1000 Aphria shares each .
investor A has 1000 on nasdaq and investor B has 1000 on tsx.

Do both investors end up with rhe same number of Tilray shares . 830 shares in usd ?


3. Today Tilray trading is much much stronger than Aphria on tsx ( where I hold my shares ) 
   Supposev this continues and Tilray goes to 15 usd and Aph goes to 7cad .

Do I still get the same number of Tilray shares at the close of the deal even though the Aph share value has declined ?

4. Given the proposed deal ,is there any value now in purchasing Aph shares ? If not , is it fair to say that Aph share price is irrelevant ? All that matters is Tilray ?

 

I have not found myself in this takeover position before with USA and Cad exchanges involved .
Would greatly appreciate some informed insights 

thanks in advance 

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