HEXO Corp. Archives

StaffApril 10, 2023

The Daily Hit is a recap of the top financial news stories for April 10, 2023.

On the Site

Tilray to Acquire Hexo Corp. for $56 Million, Loses $1.1 Billion in Q3

Tilray Brands Inc. (Nasdaq: TLRY) (TSX: TLRY) inked a deal to acquire Quebec-based Hexo Corp. (Nasdaq: HEXO) (TSX: HEXO) in a $56 million stock-swap deal, Tilray announced Monday. At the same time, Tilray revealed $1.1 billion in losses for its third fiscal quarter of 2023. Read more here.

Lawsuits Force Alabama to Review Two More Medical Marijuana Businesses

The pair of litigants – Med Shop Dispensary and TheraTrue Alabama – won rulings from a Montgomery County circuit court judge after arguing that technical problems on the state’s end prevented them from filing their applications before the Dec. 30, 2022, deadline. A third case was dismissed. Read more here.

Maryland Adult-Use Cannabis Sales to Start in July

Maryland lawmakers over the weekend finished a bill to launch the state’s recreational cannabis market in July. State lawmakers finished the measure on Saturday, just days before a deadline of midnight on Monday, when the 2023 legislative session will adjourn for the year. Gov. Wes Moore has committed to signing the bill into law. Read more here.

Cannabis Consulting Firm Turns Unrivaled Brands Around in 2022

Unrivaled Brands (OTCQB: UNRV) posted encouraging financial results for the fourth quarter of 2022 showing that the California-based company’s reported income from operations rose to $8.8 million, a notable improvement versus a loss of $13.3 million in the same period the previous year. Read more here.

Cannabis Job Growth in Illinois Wilts, Falls Nationally

Employment in Illinois climbed 4% to just under 30,000, compared to a 72% jump in 2021, according to the Vangst Cannabis Jobs Report, based on data from Vangst, an employment platform, and cannabis-research firm Whitney Economics. The picture was worse nationally, however. Industry employment fell 2% last year, which was the first decrease in a decade. Read more here.

In Other News

Verano Holdings, Acreage Holdings

Eight months after adult-use cannabis sales commenced in New Jersey, state regulators determined two companies continued to prioritize adult-use consumers over medical patients, resulting in more infractions. Locations for Verano Holdings and Acreage Holdings were each fined $5,000 for the violations. Read more here.

Connecticut

Cannabis sales in Connecticut reached a record high last month, according to new data from the Department of Consumer Protection. In March, cannabis sales reached a total of more than $22 million for adult use and medical use. Adult-use sales amounted to approximately $9.6 million and medical use sales brought it about $12.6 million. Read more here.

John SchroyerApril 10, 2023

Tilray is looking to beverages - cannabis and traditional - and Europe to grow its top line.

StaffNovember 1, 2022

The Daily Hit is a recap of cannabis business news for Nov. 1, 2022.

ON THE SITE

New York Regulators Roll Back Cannabis Testing Standards

New York cannabis regulators on Tuesday took a major step in easing testing lab safety standards for the upcoming recreational marijuana market, apparently in response to industry pressure regarding contamination thresholds. The Office of Cannabis Management notified licensed growers via email on Tuesday that “the Office has updated its Laboratory Testing Limits to remove the pass/fail limits” for bacteria, mold, and yeast. Read more here.

Nevada Receives 100 Cannabis Lounge Applications, Predicts Opening Early 2023

Nevada has taken another step toward becoming the first state with a solidly functioning cannabis consumption lounge industry that allows businesses both sell cannabis and have visitors smoke on-site. The state Cannabis Compliance Board announced Monday on Twitter that it had received a total of 100 consumption lounge applications before the submission window closed on Oct. 27. Read more here.

Hexo Reports $1 Billion Loss for Fiscal Year 2022

Hexo (Nasdaq: HEXO) reported net revenue for fiscal year 2022 of $191.1 million, up from $123.8 million from the fiscal year that ended July 31, 2021. Total revenue was $265 million, up 53% from the prior fiscal year. The net loss for the full year was an eye-popping $1 billion versus last year’s net loss of $115 million. Read more here.

Sol Global Continues Slow Exit from Cannabis

SOL Global Investments Corp. (CSE: SOL) (OTCPK: SOLCF) did not release any third-quarter revenue figures but instead noted its net losses. For the third quarter, the total loss from investments was $11.2 million versus a gain of $12.5 million for the same period in 2021. The company also reduced its stake in cannabis from 18% to 14% and is instead gravitating to companies like electric motorcycle company Damon Motors and robotic delivery company Kiwi Campus. Read more here.

Avant Brands Bids to Buy Flowr Corp. Subsidiary out of Bankruptcy

1000343100 Ontario Inc., of which Canadian cannabis producer Avant Brands Inc. (TSX:AVNT) (OTCQX:AVTBF) owns 50% of the issued and outstanding shares, has entered into a stalking horse purchase agreement to acquire all of the issued and outstanding shares in the capital of The Flowr Group Inc., a subsidiary of The Flowr Corp. A stalking-horse bid is the initial bid on the assets of a bankrupt company. Other buyers can submit competing offers following a low-end stalking horse bid. Read more here.

Cannabis Activists Push for Psychedelics Renaissance

As the psychedelics industry’s disagreements with the federal government on a variety of issues continue to rage, the fight to make things right between the citizens of this country and their duly-elected officials over a federally illegal plant has been taken up by some of the same activists who led the charge for cannabis. Read more here.

IN OTHER NEWS

SNDL Acquires Zenabis Business

SNDL Inc. (Nasdaq: SNDL) announced today that, in the context of proceedings pursuant to the Zenabis Group’s filing under the Companies’ Creditors Arrangement Act (Canada), it has successfully closed its acquisition of the Zenabis Business, pursuant to an approval order of the Québec Superior Court. Read more here.

Virginia

Marijuana remains in a legal gray area in Virginia 16 months after the state legalized the possession and use of marijuana for recreational purposes. But the state has not established a legal means of acquiring the product for nonmedicinal uses. Read more here.

Massachusetts

When Massachusetts lawmakers passed a package of reforms to the state’s marijuana business laws over the summer, their intent seemed clear: To crack down on municipalities charging cannabis operators unjustified “impact” fees, which are ostensibly meant to offset the negative effects of a marijuana business. But now, with the law scheduled to take effect next week, there is widespread disagreement over its implementation — and a likelihood that many cities and towns will for the time being continue to collect impact fees that exceed the new legal limits. Read more here.

Debra BorchardtNovember 19, 2021

First it was Slang Worldwide this week that saw the departure of the company’s CEO Chris Driessen, along with Board Chair Peter Miller stepping down and several other board members who left. Today, Canopy Growth Corporation (NASDAQ: CGC) announced that Executive Vice President and Chief Financial Officer Mike Lee and President and Chief Product Officer Rade Kovacevic would leave the company on December 31, 2021.

New Canopy Executives

The changes are coming shortly after the company blamed the decline in flower sales in the third quarter on an insufficient supply of flower with in-demand attributes, including higher THC, in the premium and mainstream categories as well heightened competition focused on single strain offerings in the value flower category. Canopy said that it managed to keep its number one market share in the premium flower category but conceded that it fell by 310 bps quarter over quarter. The value flower category maintained its number two market share, but that also dropped by 540 bps from the first quarter.

Canopy Growth named Judy Hong as interim Chief Financial Officer and Tara Rozalowsky as interim Chief Product Officer. In addition to serving as members of the company’s Executive Management Committee, both will report directly to CEO David Klein effective immediately. The company said it has initiated an external search for both roles and to support a seamless transition has

“These decisions reflect Management and the Board’s vision for building a best-in-class organization that is well-positioned to deliver long-term growth and shareholder value,” said David Klein, CEO, Canopy Growth. “We appreciate Mike and Rade’s contributions to advancing Canopy Growth to our position as a cannabis industry leader. Judy and Tara are established leaders who have played pivotal roles during their tenure at Canopy Growth. I am confident in their ability to execute against our strategic priorities as we accelerate our path to profitability,” added David Klein, CEO.

Hexo Corp.

HEXO Corp (NASDAQ: HEXO) announced that Sebastien St-Louis has resigned from HEXO’s Board of Directors. The company also announced that it has appointed President and CEO, Scott Cooper, as a Director to replace Sebastien St-Louis, effective yesterday.

“I would like to take this opportunity to thank Sebastien for over eight years of service on HEXO’s Board of Directors. Through his years of dedication, he has helped build HEXO into a market leader in Canada,” said Dr. Michael Munzar, Chair of the Board. “It is my pleasure to welcome HEXO’s President and CEO, Scott Cooper, to the HEXO board. Scott’s experience with Truss, Molson Coors, and several other publicly-traded consumer packaged goods companies will be instrumental to HEXO’s success as we continue to drive growth and profitability through the commercialization of advanced cannabis products and to defend our position as a market leader in Canada.”

Hexo is making the changes not long after it gave a sobering warning about upcoming convertible debt. Hexo also stated that while it enough money for ongoing working capital requirements, the current funds on hand, combined with operational cash flows,won’t be enough for the cash requirements under the Senior Secured Convertible Note, plus the investments required to continue to develop cultivation and distribution infrastructure, and the future growth plans of the company. Management said it is exploring several options to secure the necessary financing, which could include the issuance of new public or private equity or debt instruments, supplemented with operating cash inflows from operations.

22nd Century

22nd Century Group, Inc. (Nasdaq: XXII) joined the club in making big changes as it announced that Richard Fitzgerald has become the new Chief Financial Officer, effective November 15, 2021. John Franzino, the Company’s previous Chief Financial Officer, was transitioned to Chief Administrative Officer, where he will be responsible for further developing the company’s business processes and leading the company’s financial planning and analysis, operational finance, human resources, and information technology functions.

Debra BorchardtFebruary 17, 2021

HEXO Corp. (TSX: HEXO; NYSE: HEXO) is buying Zenabis Global Inc. (TSX: ZENA) in an all-stock deal valued at approximately $235 million. Zenabis had hinted that such a deal was in the making during its fight with Sundial. In January, the company had said it had started talks with another significant licensed cannabis producer, so it seems Hexo was the company. Zenabis stock has jumped over 18% to lately trade at 14 cents. The combined organization would be a top-three licensed producer in terms of combined Canadian recreational cannabis sales.

“We’re thrilled to welcome the Zenabis team into the HEXO family. Zenabis has built solid relationships and they share HEXO’s vision of bringing exceptional branded cannabis experiences to adults everywhere, in Canada and abroad” said Sebastien St-Louis, CEO and co-founder of HEXO Corp. “We are proceeding with this transaction because we believe it should be accretive for our shareholders, and it also positions HEXO for accelerated domestic and international growth while supporting near-term requirements for additional licensed capacity. HEXO’s growth strategy includes expanding our global presence, and this acquisition is an important step in that direction.”

HEXO estimates that the combined entity may realize annual synergies of approximately $20 million within one year of close, through cost of goods reductions, additional capacity utilization in HEXO’s Belleville Centre of Excellence and selling, general and administrative savings, which, if realized, should allow HEXO to continue its path towards positive earnings. The combination would give HEXO access to licensed capacity to produce approximately 111,200 kg of additional high-quality cannabis annually. It would result in HEXO acquiring two indoor facilities (approximately 635,000 sq. ft.) and access to a 2.1 million sq. ft. greenhouse facility, totalling approximately 2.735 million sq. ft. of near-term cultivation space offering diversified growing and production techniques.

Under the terms of the Agreement, Zenabis shareholders will receive 0.01772 of a HEXO common share in exchange for each Zenabis common share held. The Exchange Ratio implies a premium per Zenabis common share of approximately 19% based on the 20-day volume-weighted average price of Zenabis common shares on TSX and HEXO common shares on TSX as of February 12, 2021. Warrants and incentive securities of Zenabis will be adjusted in accordance with their terms to ultimately become exercisable to receive common shares of HEXO based on the share exchange ratio. The deal was unanimously approved by the board of directors of each of HEXO and Zenabis and Zenabis’ board of directors unanimously recommends that its shareholders vote in favor of the Transaction.

“This is a compelling combination. Our brands and strains strength across Canada, coupled with our international footprint and state-of-the-art low-cost and high-quality cultivation facilities complements HEXO’s business, creating an industry leader. Like HEXO, Zenabis believes that the combination should deliver meaningful synergies, a stronger financial position with increased flexibility, and should position the combined company to meet growing consumer demand on a national and international basis. I believe this transaction is beneficial to our shareholders, customers, partners, and employees. We look forward to working closely with HEXO to complete this transaction,” added Shai Altman, CEO of Zenabis.

Sundial Battle

Zenabis has been fighting with sundial since December 30, 2020, when Sundial said it had made a strategic investment in Zenabis’ senior lender, which Zenabis said was an attempt to coerce Zenabis into being acquired by Sundial. In a statement, Zenabis said, “Prior to Sundial’s acquisition of the Senior Lender, the company had been in late-stage discussions with the Senior Lender relating to the extension of its obligation to repay $7 million of the principal amount of debt on December 31, 2020. Contrary to the discussions with the Senior Lender prior to the point at which it was acquired by Sundial, the Senior Lender substituted the soon-to-be consummated extension with a demand that the $7 million principal repayment be made on December 31, 2020 accompanied by a forbearance agreement.”

Zenabis also said that the forbearance agreement required it to enter into exclusivity arrangements with the Senior Lender in relation to any sale of the company and also required Zenabis to accept significant potential financial penalties in excess of the outstanding balance of the debt owed to the Senior Lender. The company said that none of the alleged defaults are for failure to make payments of principal or interest. In Zenabis’ statement, “The company believes the Senior Lender’s allegations to be spurious and without merit and intends to vigorously defend against what it considers to be an ill-disguised attempt to circumvent a fair and competitive process to acquire the company by improperly foreclosing the equity of the company or compelling Zenabis to enter into a transaction with Sundial.”

StaffDecember 7, 2020

HEXO Corp. (NYSE:HEXO) wants to change its plan on consolidating its shares to a four to one ratio from eight to one since its share price has risen. Hexo is consolidating its shares in order to meet the compliance standard of $1.00 per share for the New York Stock Exchange.

The company said it believes the original consolidation ratio should be revised downward in light of the recent increase in the trading price of the common shares and in order to maintain a liquid share float and reflect the company’s confidence that it can execute on its growth strategy. It has made an amendment to its notice of meeting dated October 28, 2020, and its management information circular dated October 28, 2020, in respect of its annual and special meeting of shareholders scheduled to be held on December 11, 2020.

“We believe that our solid financial position and the execution of our growth strategy is not yet reflected in our market valuation. We are number one in Canada in key categories such as beverages and have continued to gain sales momentum in critical markets including Ontario and Alberta. We are currently sitting fourth in recreational cannabis sales in Canada, with the gap between us and third place narrowing, while the gap between us and those behind us has widened”, said Sébastien St-Louis, HEXO CEO and co-founder. “Given the necessity to regain compliance with the US$1.00 minimum share price continued listing standard, we are in the position of having to seek approval for the consolidation to avoid de-listing from the NYSE. It is important to maintain liquidity for our investors, and we’ve made the decision to consolidate our shares. This change in the consolidation ratio to 4:1, from the previously announced 8:1, is indicative of the confidence we have in our ability to execute going forward, as we look beyond positive EBITDA to earnings on a per share basis.”

The shares have traded at roughly a price 70 cents per share, but shares recently popped over $1.00. Hexo plans to release its financial results for the fiscal first quarter of 2021, before market hours on December 14, 2020, as well as host a webcast for investors beginning at 8:30 a.m. EST.

Debra BorchardtApril 8, 2020

The price of HEXO Corp. (TSX: HEXO; NYSE: HEXO) plunged another 22% after shareholders learned that the company announced a $40 million offering. The stock was falling from its close of 69 cents to roughly 54 cents, down from its 52-week high of $8.40. The company said it expects to use the net proceeds from the Offering for working capital and other general corporate purposes.

Hexo said it would be filing a preliminary prospectus supplement to its amended and restated base shelf prospectus dated December 14, 2018, relating to a proposed underwritten public offering. In addition, the company said it intends to grant the underwriters a 30-day option to purchase up to an additional 15% of the Units offered in the proposed Offering on the same terms and conditions.

Canaccord Genuity Corp. and Canaccord Genuity LLC are acting as the lead underwriters for the Offering.

Hexo recently reported a staggering net loss of C$289 million for fiscal 2020 second-quarter ending January 31, 2020. The net revenue for Hexo increased by 17% to $17 million from $14.5 million in the first quarter. The earnings are reported in Canadian dollars.

The loss from operations for the quarter was $289.4 million, compared with a loss of $60.6M in the prior period. The company said that excluding non-cash write-downs and impairment charges in the quarter, the adjusted net loss was ($23.2M) compared with ($34.0M) in Q1’20. This was basically one of those kitchen sink quarters. The company just tossed everything but the kitchen sink into the loss column and just ripped the bandaid off.

While the quarter just seemed completely ugly, there was some slim good news for the company. The gross revenue increased 23% sequentially to $23.8 million. Adult-use cannabis shipped revenue increased 21% sequentially to $24.4 million.

At the time of the earnings release Sebastien St-Louis, CEO, and co-founder of HEXO Corp said, “The industry continues to see challenges ahead, and following a strategic review of the Company’s core and non-core assets we believe we have positioned HEXO to meet these challenges head-on.”

Debra BorchardtDecember 16, 2019

HEXO Corp. (TSX: HEXO)(NYSE: HEXO) reported its financial results for the first quarter fiscal 2020 ended October 31, 2019, in Canadian dollars. The company reported that the net revenue in the first quarter decreased sequentially to $14.5 million versus $15.4 million in the fourth quarter of 2019. The revenue increased over $5.7 million reported in the first quarter of 2019.

The net loss for the quarter was an eye-popping $62.4 million. The company attributed the increase in loss to “The larger magnitude of the company’s operations, the expanding scale production and sales in the period, and an impairment loss.” Operating expenses increased from $22 million in the first quarter of 2019 to $35.1 million for the first quarter of 2020.

The stock was falling over 8% on the news of the losses and was lately trading at $2.08, down from its 52-week high of $8.40.

“We have done some pretty heavy lifting on our operations, as we work towards profitability in 2020. The choices that we have made and implemented have already led to a 25% reduction in our operating expenses,” said Sebastien St-Louis, CEO, and co-founder of HEXO Corp. “Cost control combined with our multi-brand approach, an updated strain mix, as well as the introduction of new products, will help us increase our market share and total revenue, leading us towards great results in 2020. I am more confident than ever in our ability to continue down this path and to pivot with more speed and assertiveness should market conditions evolve again.”

The company noted that adult-use sales volume during the quarter increased 5% to 4,196 kg from 4,009 kg equivalents sold in the prior quarter. Gross adult-use revenue per gram equivalent decreased to $4.35 in Q1’20 from $4.74 in Q4’19, reflective of the provision for sales returns and price adjustments recorded in the quarter. “The provision is reflective of a general best estimate provision for returns and price adjustments based on the Company’s assessment of sell-through and slow-moving inventory. This was partially countered by the addition of the premium brand Up cannabis, which commands revenue of $7.03 per gram on dried flower during the quarter. The adult-use net revenue per gram equivalent decreased to $3.24 in Q1’20 from $3.51 in Q4’19, reflecting the impact of the provision above.”

Block B Issues

Hexo disclosed on November 15, 2019, that there was a licensing issue in Block B of its Niagara facility, inventory from Block B was quarantined and held back from sales. The inventory was kept on the books and although destruction was a possible outcome, Hexo has said it has reassessed any risks related to such inventory and concluded that it is cleared for sale and will not be subject to destruction. Block B is now fully Licensed by Health Canada.

Debra BorchardtOctober 29, 2019

HEXO Corp. (TSX: HEXO; NYSE: HEXO) stock was dropping over 6% in early trading after the company gave guidance, despite beating earnings estimates during the company release of its financial report. Net revenue in Canadian dollars for the fourth quarter ending July 31, 2019, increased to $15.4 million versus last year’s $13 million for the same time period. This beat revenue estimates by $.38 million according to Seeking Alpha.

The company delivered a net loss increase of over 400% coming in at $56 million for the quarter versus last year’s net loss of $10 million for the same time period. The company said the increase in net loss was” primarily due to the significant scale of operations and increased stock-based compensation expense due to higher cannabis market value, increased R&D expenditures and an impairment loss on inventory.”

“We are at the end of the first year of adult-use legalization in Canada, which was an incredible year full of successes and challenges across the industry. We’ve gone from $4.9M to $59.3M in gross revenue in just one year. This type of revenue growth is a testament to the Company’s resilience and capacity to pivot in the face of uncertainty,” said Sebastien St-Louis, CEO, and co-founder of HEXO Corp. “I am confident that our multi-brand approach, focusing on customer demand, re-evaluating our strain mix, as well as the introduction of new products to counter the black market, will help us increase our market share and total revenue”.

Full Year Results

The company’s revenues for the full year were $59 million in fiscal 2019 versus $4.9 million in fiscal 2018. The net losses for the year were $81 million versus last year’s $23 million.

Guidance Less Than Stellar

HEXO gave the following outlook for 2020:

Q1 2020 guidance: Revenue will range between $14M – 18M and attributed the lack of growth on “a provision for returns and retroactive adjustments on inventory held by provinces, which is subject to price adjustments as a result of a re-evaluation of the Company’s pricing strategy.”

2020 guidance: Positive EBITDA. HEXO said its original revenue guidance for fiscal 2020 was lowered “due to slower than expected store roll out across Canada, consumer demand-based product mix shifts and lower than expected sell-through.”

Sales Mix

Adult-use sales in the quarter accounted for 91% of total revenue. The company noted that adult-use gross sales jumped 30% to $18 million in the quarter versus $14 million in the third quarter and zero for the same time period last year. The acquisition of Newstrike contributed $2 million in sales. Sales to the AGLC, which was new business in the quarter, added another $4 million.

Sales volume in the fourth quarter grew by 45% to 4,009 kg from 2,759 kg equivalents sold in the prior quarter. The acquisition of Newstrike contributed 396 kg, sales to the AGLC contributed 971 kg. Dried flower and milled products represented 89% of gram equivalents sold during the quarter, a 4% increase from the prior quarter, with oil product sales comprising the balance of the quantity sold.

Expenses

Operating expenses increased to $46 million in the quarter versus last year’s $10 million for the comparable quarter as the company said it reflected a significant increase to the scale of our operations. Loss from operations for the quarter was $60 million compared to $10 million for the comparable quarter year over year.

Rough Times

HEXO had been signaling the quarter was going to be a difficult one to deliver. The CFO resigned earlier in the month and the company laid off 200 employees. The company also had to delay its original planned earnings announcement. The company blamed the new financing for the reason it had to reschedule the release of its fourth-quarter and full-year financial results to October 28, 2019. Hexo had entered into subscription agreements with a group of investors for a C$70 million private placement basis, for an 8.0% unsecured convertible debentures of Hexo.

Positives

The company launched the Original Stash brand that competes with black market prices. HEXO’s JV with Molson Coors Canada, Truss Beverages Co., announced the first beverage brand for 2.0, Flow Glow, a partnership with Flow Glow Beverages Inc. water for CBD infused beverages. It also obtained a research and Phase 1 license for Belleville, and sale of cannabis topicals, extracts, edibles and beverages for Gatineau facility.

“Above and beyond significantly increasing our retail reach to nine provinces, we’ve also launched Original Stash, the industry’s first true value brand, which we believe will not only compete directly with the illicit market but also contribute to a significant increase in sell-through,” added St-Louis.

William SumnerOctober 10, 2019

It’s time for your Daily Hit of cannabis financial news for October 10, 2019.

On the Site

Nevada Marijuana Licenses Makes Appearance In Russian Campaign Violation Arrest

The two Russian nationals that were arrested on Thursday for campaign finance violations also tried to apply for marijuana licenses in Nevada according to the arrest allegations. The document said that Lev Parnas, Igor Furman, David Correia and Andrey Kukushkin “planned to use Foreign National-1 as a source of funding for donations and contributions to State and federal candidates and politicians in Nevada, New York and other states to facilitate acquisitions of retail marijuana licenses.”

HEXO Corp.

HEXO Corp. (TSX: HEXO)(NYSE: HEXO) stock was plunging almost 20% as the company told Wall Street that its revenues would be lower than expected. The company said in a statement that it now expects net revenue for the fourth quarter to be approximately $14.5 million to $16.5 million and net revenue for the year to be approximately $46.5 million to $48.5 million.” This is a far cry from the company’s claim in June that it was on track to reach $400 million in net revenue in 2020 and said it would double net revenue in the fourth fiscal quarter.

MediPharm Labs

MediPharm Labs Inc., a wholly-owned subsidiary of MediPharm Labs Corp. (TSX: LABS) (OTCQX: MEDIF), has secured a $38.7 million credit facility from a top 5 Canadian Schedule 1 bank. Although the company initially sought $20 million, the credit facility was upsized and is comprised of a revolving term facility, a non-revolving term facility and a non-revolving delayed draw term facility.

In Other News

Village Farms International

Village Farms International, Inc. (TSX: VFF) (NASDAQ: VFF) announced that a group of underwriters co-led by Beacon Securities Limited and GMP Securities L.P. have agreed to purchase, on a bought deal basis, 2,660,000 common shares of the company at a price of C$9.40 per share. The total value of the offering is approximately C$25 million. Pending regulatory approval, the offering is expected to close on or around October 22, 2019. The net proceeds of the offering will go towards working capital and general corporate purposes.

Canopy Growth

Canopy Growth Corporation (TSX: WEED) (NYSE: CGC) announced that David Klein has been appointed Chair of its Board of Directors effective immediately. Klein is currently the Executive Vice President and Chief Financial Officer of Constellation Brands, Inc. “There is no company better positioned to win in the emerging global cannabis market. I look forward to continuing to work with Canopy Growth’s very talented leadership team to position the company for long-term, industry-leading profitable growth,” Klein said in a statement.

Cannara Biotech

Cannara Biotech Inc. (CSE: LOVE) (OTCQB: LOVFF) (FRA: 8CB) has secured a first mortgage against its Farnham Facility, valued at $6 million, with the Canadian Imperial Bank of Commerce. The mortgage will help reduce the company’s debt service costs. “Once Cannara’s cultivation and sales licenses are granted we’ll look to augment this mortgage to further reduce our debt service costs,” commented Zohar Krivorot, President and CEO of Cannara.

Older Posts

Vext to Acquire Two Ohio Dispensaries in $9.8M Deal

MediPharm Settles $9M Dispute with HEXO, Establishes New Deal with Tilray

In other news

Canopy, Tilray Close Deals as One Shrinks and the Other Grows

BDSA Walks Back Global Cannabis Sales Forecast by $5B

Oklahoma Cannabis Crackdown Continues With Dispensary Fines

HEXO Corp. Archives - Green Market Report

Daily Hit: April 10, 2023

On the Site

In Other News

Tilray to Acquire Hexo Corp. for $56 Million, Loses $1.1 Billion in Q3

The Daily Hit: November 1, 2022

ON THE SITE

IN OTHER NEWS

Poor Results Forcing Big Executive Changes

New Canopy Executives

Zenabis Finds Savior In Hexo Acquisition

Hexo Changes Share Consolidation As Price Increases

Hexo Stock Plunges After $40 Million Offering Announced

HEXO Reports Decline In Revenue, Rising Expenses

HEXO Stock Slides On Lowered Guidance, Net Loss Increases 440%