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OrganiGram Holdings Inc T.OGI

Alternate Symbol(s):  OGI

Organigram Holdings Inc. is focused on producing cannabis for patients and adult-recreational consumers, as well as developing international business partnerships to extend the Company's global footprint. The Company, through its subsidiary, Organigram Inc., is a licensed producer of cannabis, cannabis- derived products and cannabis infused edibles in Canada. It has also developed and acquired a portfolio of legal adult-use recreational cannabis brands, including Edison, Holy Mountain, Big Bag O’ Buds, SHRED, SHRED’ems, Monjour, Laurentian, Tremblant Cannabis and Trailblazer. It specializes in vape and infused pre-roll categories backed by a portfolio of owned brands, including the BOXHOT brand. Its products include pre-milled flower, pre-rolls, weed gummies, shred x vapes, and extracts. It operates facilities in Moncton, New Brunswick and Lac-Superieur, Quebec, with a dedicated edibles manufacturing facility in Winnipeg, Manitoba. Its subsidiaries also include 10870277 Canada Inc.


TSX:OGI - Post by User

Post by itsnevertoolateon Jan 19, 2022 8:36pm
243 Views
Post# 34335607

Something to think about!

Something to think about!It's kind of perplexing, at the current share price of this stock, why BAT has not moved in and bought OGI lock stock and barrell. I totally understand this is one mighty company with untold riches and resourses that had as of Jan 14/2022 a market cap of 94.98 billion dollars. It would make one wonder what they are thinking of their investment of $220 million in March 2021 for roughly a 20% interest in Organigram and whether they are considering based on OGI's current market cap of stepping in and buying OGI out completely. The investment BAT made gave them 58.3 million OGI shares at an average price of $3.79 per share. I wonder what they are thinking of the share price these days. Of course they are big enough to withstand this type decline in share price, but I can't think that they would be all too pleased. The reality is, the amount that they have invested in Ogi would pale in comparison to what they paid in March 2017..they paid $49 billion to acquire just 58% of Reynolds American (they already owned 42% at the time of the deal) so clearly money is no issue at all if they decide to make a move on OGI, and I am actually surprised they haven't given the fact that they are a recognized international company and have the resoruces, pipelines and infastructure in place to make any company they decide to focus on wealthy and profitable..by doing it their own way..not to say that OGI is not finally executing much better these days than in the past, because their last few quarterly results have been impressive and it shows they are headed in the right direction but BAT has the resources and clout to make things happen should they choose to do it..anyways, this post is not meant to do anything more than question why at these prices that BAT doesn't swoop in and buy the whole kit and kabootle..and maybe something like that is being considered and in the works..who knows. as I said, it's certainly not as if they cant afford it, but I don't expect that they will be buying 20% of the company at a time, everytime OGI gets low on cash and needs an infusion  until they own it all. I would think that they would want to be all in and buy OGI out completely, or sell the stake they already have and move on..They don't strike me as a company that is going sit on their hands knowing they paid $3.79 for shares that are currently half of that price..Surely they are too big and too savvy to let that happen and not do something about it It would be interesting to hear othe members thoughts on this, and as to where investors think this story is headed...something to think about!
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