Aphria Raises $25mm, the Largest Public Equity Cannabis Deal in Canada

Aphria Powered by Sunlight

Canadian licensed producers (LPs) continue to raise capital aggressively as the MMPR program takes off and in front of legalization. Aphria (TSXV: APH) (OTC: APHQF) announced its second deal since Justin Trudeau and the Liberal Party won the elections last October. This one, at $25mm, represents the largest public financing to date in the sector. Mettrum (TSXV: MT) (OTC: MQTRF) raised $34.5mm in a private placement in 2014 before it was listed on the TSX Venture. Mettrum recently raised $8.625mm in a public offering, while other LPs raising capital have included Aurora Cannabis (CSE: ACB) (OTC: ACBFF), Canopy Growth (TSX: CGC) (OTC: TWMJF), Organigram (TSXV: OGI) (OTC: OGRMF) and Supreme Pharma (CSE: SL) (OTC: SPRWF).

Aphria will be selling 12.5mm shares to group of underwriters led by Clarus Securities to be offered to investors at $2.00. The underwriters have the option to increase the deal by up to 1.875mm shares within 30 days of closing, which is expected to be on or about August 18th.

Aphria trading was halted about a half-hour before the close, with the last trade at $2.39, below an all-time high of $2.59 set earlier this week. The offering at $2.00 represents a 16.3% discount to the last trade but a 53.8% premium to its last financing in November, where it raised  $11.5mm by selling  units, which included one share and a 1/2 warrant with an exercise price at $1.75, at $1.30.

Aphria 072816

Before this cannabis stock news is here, it's published to subscribers on 420 Investor.

Published by NCV Newswire

The NCV Newswire by New Cannabis Ventures aims to curate high quality content and information about leading cannabis companies to help our readers filter out the noise and to stay on top of the most important cannabis business news. The NCV Newswire is hand-curated by an editor and not automated in anyway. For questions contact us.


Latest News
Get The App

Download the free “New Cannabis Ventures” app on the iOS App Store or Google Play and get real-time push notifications straight to your phone on the latest breaking news and exclusives published.


ncv-news-ios-app-store

ncv-news-google-play

NCV Media

Thank you for reading

New Cannabis Ventures

Contributing original content and curating quality news on only the most promising cannabis companies and the most influential investors.

FOLLOW US ON