Emblem Corp. (TSXV: EMC) (OTC: EMMBF) announced that PI Financial will lead a group of underwriters in a bought deal. The company will be selling 2,754,821 Special Warrants for $3.63, raising $10mm. Each warrant allows holders to buy Units consisting a share of common stock and a warrant to buy a share at $4.75. The deal is expected to close on January 26th.
Emblem began trading in December following a $2mm Qualifying Transaction at $1.15 per Unit, with each unit consisting of a common share and a warrant to buy 1/2 share at $1.75 in a deal that was underwritten by PI Financial. This capital raise represents its first as a public company and the first for the Canadian cannabis sector in 2017 after publicly-traded LPs raised $423.6mm in 2016. Trading was halted in advance of the news release just prior to the close, with the last trade at $4.30.
Get ahead of the crowd by signing up for 420 Investor, the largest & most comprehensive premium subscription service for cannabis traders and investors since 2013.