Organigram Successfully Closes Previously Announced Underwritten Public Offering
April 02 2024 - 8:51AM
Business Wire
Including over-allotment Company raises
C$28.8 million in gross proceeds improving already strong balance
sheet
Organigram Holdings Inc. (“Organigram” or the
“Company”) (TSX: OGI; NASDAQ: OGI) announces today the
closing of its previously announced underwritten public offering of
units of the Company (the “Units”) for total gross proceeds
of C$28,750,230 (the “Offering”). The Company sold 8,901,000
Units at a price of C$3.23 per Unit, which included 1,161,000 Units
sold pursuant to the exercise in full of the Underwriters’
over-allotment option.
Each Unit is comprised of one common share of the Company (a
“Common Share”) and one-half of one Common Share purchase
warrant (each full common share purchase warrant, a
“Warrant”). Each Warrant is exercisable to acquire one
Common Share (a “Warrant Share”) for a period of four years
following the closing date of the Offering at an exercise price of
C$3.65 per Warrant Share, subject to adjustment in certain
events.
ATB Securities Inc. (“ATB”), as the lead underwriter for
the Offering, and A.G.P. Canada Investments ULC (together with ATB,
the “Underwriters”) acted as the underwriters for the
Offering. The Units were offered in the United States through the
Underwriters’ broker-dealer affiliates or agents. The Company
expects to use the net proceeds from the Offering to fund growth
initiatives and for general corporate purposes.
In connection with the Offering, the Company filed a prospectus
supplement dated March 27, 2024 (the “Prospectus
Supplement”) to the Company’s short form base shelf prospectus
dated October 6, 2023 (the “Base Shelf Prospectus”) with the
securities commissions or similar securities regulatory authorities
in each of the provinces and territories of Canada. In addition,
the Prospectus Supplement was filed with the United States
Securities and Exchange Commission (the “SEC”) as a
supplement to the Company’s registration statement on Form F-10
(SEC File No. 333-274686) (the “Registration Statement”)
under the United States/Canada Multi-Jurisdictional Disclosure
System which includes the Base Shelf Prospectus. The Prospectus
Supplement, the Base Shelf Prospectus and the Registration
Statement contain important detailed information about the Company
and the Offering.
Copies of the Prospectus Supplement and the Base Shelf
Prospectus are available on SEDAR+ at www.sedarplus.ca and copies
of the Prospectus Supplement and the Registration Statement are
available on EDGAR on the SEC’s website at www.sec.gov. Copies of
the Prospectus Supplement, the Base Shelf Prospectus and the
Registration Statement may also be obtained in from ATB Securities
Inc., 66 Wellington Street West, Suite 3530, Toronto, Ontario M5K
1A1, Attn: Jay Lewis, by telephone at (647) 688-7077, or by email
at ogi-prospectus@atb.com.
No securities regulatory authority has either approved or
disapproved of the contents of this news release. This news release
is for information purposes only and shall not constitute an offer
to sell or the solicitation of an offer to buy, nor shall there be
any sale of these securities in any state or jurisdiction in which
such offer, solicitation or sale would be unlawful prior to
registration or qualification under the securities laws of any such
state or jurisdiction.
About Organigram
Organigram is a NASDAQ Global Select Market and TSX listed
company whose wholly owned subsidiaries include Organigram Inc. a
licensed producer of cannabis, cannabis- derived products and
cannabis infused edibles in Canada.
Organigram is focused on producing high-quality, cannabis for
patients and adult recreational consumers, as well as developing
international business partnerships to extend the Company’s global
footprint. Organigram has also developed and acquired a portfolio
of legal adult-use recreational cannabis brands, including Edison,
Holy Mountain, Big Bag O’ Buds, SHRED, SHRED’ems, Monjour,
Laurentian, Tremblant Cannabis and Trailblazer. Organigram operates
facilities in Moncton, New Brunswick and Lac-Supérieur, Quebec,
with a dedicated edibles manufacturing facility in Winnipeg,
Manitoba. The Company is regulated by the Cannabis Act and the
Cannabis Regulations (Canada).
Forward-Looking Information
This news release contains forward-looking information. Often,
but not always, forward-looking information can be identified by
the use of words such as “plans”, “expects”, “estimates”,
“intends”, “anticipates”, “believes” or variations of such words
and phrases or state that certain actions, events, or results
“may”, “could”, “would”, “might” or “will” be taken, occur or be
achieved. Forward-looking information involves known and unknown
risks, uncertainties and other factors that may cause actual
results, events, performance or achievements of Organigram to
differ materially from current expectations or future results,
performance or achievements expressed or implied by the
forward-looking information contained in this news release. Risks,
uncertainties and other factors involved with forward-looking
information could cause actual events, results, performance,
prospects and opportunities to differ materially from those
expressed or implied by such forward-looking information include
changes to market conditions, consumer preferences and regulatory
climate and factors and risks as disclosed in the Company’s most
recent annual information form, management’s discussion and
analysis and other Company documents filed from time to time on
SEDAR+ (see www.sedarplus.ca) and filed or furnished to the SEC on
EDGAR (see www.sec.gov) including that the Company’s use of the net
proceeds of the Offering may differ from those indicated. Readers
are cautioned not to place undue reliance on these forward-looking
statements, which speak only as of the date of this news release.
Although the Company believes that the assumptions and factors used
in preparing the forward-looking information in this news release
are reasonable, undue reliance should not be placed on such
information and no assurance can be given that such events will
occur in the disclosed time frames or at all. The forward-looking
information included in this news release are made as of the date
of this news release and the Company disclaims any intention or
obligation, except to the extent required by law, to update or
revise any forward-looking information, whether as a result of new
information, future events or otherwise.
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version on businesswire.com: https://www.businesswire.com/news/home/20240401945410/en/
For Media enquiries:
Megan McCrae Senior Vice President, Global Brands and Corporate
Affairs megan.mccrae@organigram.ca Organigram
For Investor enquiries:
Max Schwartz Director of Investor Relations
max.schwartz@organigram.ca Organigram
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