RE:RE:New investor in CGC hereI'm aware of the deal and yes if it goes through it will be a windfall for the people that own acreage. The caveat is there is much more risk associated with acreage because they are not properly funded yet and their survival is not guaranteed.
I have read all your posts and you keep repeating yourself over and over again.
geodcan wrote: Do a little more due diligence and analyze the deal that Canopy and Acreage have inked.
I see even more upside potential for participating in Canopy through the merger and acquisition deal by buying the Acreage fixed shares for sure and possibly even more upside with the Acreate floating shares.
Of course the over-exuberance in picking up compatible assets cost the acquisitors dearly and shareprices tanked which resulted in the original deal they struck, being revisited and re- valued.
As all of the involved companies waited for some form of US decriminalization, shareprices of all three continued to erode and some think they made need to revisit the deal once again.
I am hoping not! I don't know if shareholders could handle it and go into preservation of capital mode and sell into the bid.
At one time the deal was valued at over $4 billion which got downsized such that 38 million dollars crossed the table and the rest of the deal is shares of Canopy for the fixed Acreage shares and a minimum of $6 ish for the floating shares.
At today's prices, it looks like Acreage is on sale.
My gut tells me that Canopy will honour the deal as it is now when they feel good enough about moving in to the US. They need what Acreage has by way of licenses, dispensaries and grows. I also see the floating shares as equalizing to the fixed values and I see Canopy as being in high demand with a triggering event as US investors not in, will rush in and prices will go up.
glta and dyodd