Jushi Holdings Inc. (CSE: JUSH) (OTCQX: JUSHF) has closed a non-brokered private placement raising $10 million as the company’s shares have begun to lift from its 52 week low of $2.95 and shares were lately trading at $3.56.
“We are extremely encouraged by the support we continue to receive from GAMA, a well-established asset manager,” said Jim Cacioppo, Chief Executive Officer, Chairman, and Founder of Jushi. “Their confidence reiterates the strength of our differentiated corporate strategy, industry leading organic revenue growth rate, geographic footprint leveraged to medical states evolving to adult-use, as well as the strength of our management team. This investment will support the expansion of our grower-processor facilities and our continued pursuit of accretive acquisitions.”
The offering of 2,717,392 subordinate voting shares were sold at a price of $3.68 per share to Graticule Asset Management Asia for gross proceeds of $10 million. Jushi said the funds will be used for potential strategic acquisitions and general corporate purposes. As of December 31, 2021, the company’s pro forma cash balance, including proceeds from the Offering, was approximately $104 million.
Mr. Cacioppo continued, “Given recent stock market volatility, we are seeing a tremendous amount of deal opportunities, driven by recent license issuances and pending processes in Illinois and Ohio, several broken deals and auctions, our current pipeline, and an increase in the number of distressed companies. We are well-positioned with a strong balance sheet and cash holdings which exceed our anticipated capex plans and continue to have access to additional sources of financing to pursue strategic expansion opportunities.”
A couple of weeks ago Cacioppo announced he had purchased 66,800 Class B Subordinate Voting Shares of the company in the open market for an approximate amount of two hundred and twenty thousand dollars. He now own in the aggregate, approximately 19.2% of the issued and outstanding Subordinate Voting Shares