It’s time for your Daily Hit of cannabis financial news for September 28, 2020.
On the Site
Just two weeks ago, iAnthus Capital Holdings, Inc. (OTCQX: ITHUF) announced that, at the meetings of Secured Noteholders, Unsecured Debenture holders and Existing Equity holders voted overwhelmingly in support of the previously announced recapitalization transaction to be implemented by way of a court-approved plan of arrangement under the British Columbia Business Corporations Act. The hearing was planned for September 25, 202. The stock was halted for trading this afternoon.
According to a post on Twitter by Andro George, the plan was dismissed. George has been working with shareholders to claim that the assets are more valuable than what is being presented in court. It seems iAnthus was offering common shareholders 2.75%, while they believe they should get something in the ballpark of 25%-32.5%.
The Green Organic Dutchman Holdings Ltd. (OTC: TGODF) has entered into an agreement with Canaccord Genuity Corp. to purchase, on a bought deal basis an aggregate of 46,316,000 units at a price of $0.24 per Unit for aggregate gross proceeds to the Company of approximately C$11 million. TGOD said it intends to use the proceeds of the Offering for general corporate purposes.
TGOD has also granted Canaccord an option to purchase up to an additional 6,947,400 Units at a price of C$0.24 per Unit which would result in additional proceeds of approximately $1.65 million. The Offering is expected to close on October 22, 2020, and is subject to certain conditions including, but not limited to, the receipt of all necessary regulatory and stock exchange approvals, including the approval of the TSX and the applicable securities regulatory authorities. The stock was lately trading at C$0.29.
Tilray, Inc. (NASDAQ: TLRY) announced that Australian researchers have published preliminary results finding that one of the company’s GMP-produced products is showing promise reducing nausea and vomiting for cancer patients undergoing chemotherapy in a clinical trial.
The results were published in the Annals of Oncology which found a significant improvement in the control of chemotherapy-induced nausea and vomiting. A quarter of the patients taking medicinal cannabis experienced no vomiting and nausea, compared to 14 percent of people who took a placebo. The pilot phase of the study ran for two-and-a-half years with 81 participants enrolled. To be included in the study, patients had to have already experienced nausea and vomiting during chemotherapy despite having taken nausea prevention medication.
In Other News
C21 Investments Inc. (OTCQX: CXXIF) has qualified to trade on the OTCQX Best Market. The Company begins trading today on OTCQX, continuing under the symbol “CXXIF”. Trading on OTCQX will enhance the visibility and accessibility of C21 to U.S. investors. The company’s common shares will continue to trade on the Canadian Securities Exchange under the symbol CXXI. To qualify for OTCQX, companies must meet high financial standards, follow best practice corporate governance, and demonstrate compliance with applicable securities laws.
“Graduating to the OTCQX Best Markets aligns well with our focus to both improve access and increase visibility of C21 to a broader base of U.S. investors,” stated CEO and President, Sonny Newman. “This achievement is a testament to the hard work of our entire team and we look forward to continuing to execute our strategy of building upon our cash flow positive business.”
Aurora Cannabis stock dropped by 5% on Monday after it was announced that activist investor Nelson Peltz had resigned as a senior advisor. Aurora, in an emailed statement, said the company and Peltz had “concluded their relationship,” and that it appreciated his contributions.