Proposed Settlement Reached in 2016 Class Action
June 23 2022 - 08:00PM
Business Wire
Organigram Holdings Inc. (NASDAQ: OGI) (TSX: OGI), and its
subsidiary Organigram Inc. (together, the "Company" or
"Organigram"), a leading licensed producer of cannabis in Canada,
has reached a proposed settlement (“Settlement”) in a previously
disclosed class action related to medical cannabis that was
voluntarily recalled in December 2016 and January 2017 (“Class
Action”). The Supreme Court of Nova Scotia (the “Court”) approved
notice of Settlement will be sent to class members beginning on
June 24, 2022.
As part the Settlement, the Company has agreed to pay an
aggregate of $2,310,000 (the “Settlement Amount”), which amount has
been previously accrued in the Company’s financial statements for
the prior fiscal year.
For the proposed Settlement to become effective, it must be
approved by the Court. The Court must be satisfied that the
settlement is fair, reasonable and in the best interest of the
Class. On August 31, 2022, the Court will hold a hearing to
consider whether to approve the Settlement. If the Settlement is
approved by the Court, the Settlement Amount will be used to
provide Class Members a refund of the amounts paid to purchase the
voluntarily recalled product, less any refunds they have already
received, as well as the payment of legal fees. In addition, the
Company has agreed to pay the third-party claims administration
costs.
About Organigram Holdings Inc.
Organigram Holdings Inc. is a NASDAQ Global Select Market and
TSX listed company whose wholly-owned subsidiaries include:
Organigram Inc. and Laurentian Organic Inc., licensed producers of
cannabis and cannabis-derived products in Canada, and The Edibles
and Infusions Corporation, a licensed manufacturer of
cannabis-infused soft chews 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,
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).
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
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.sedar.com) and filed or furnished to the Securities and
Exchange Commission on EDGAR (see www.sec.gov). Readers are
cautioned not to place undue reliance on these forward-looking
statements, which speak only as of the date of this press 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.
View source
version on businesswire.com: https://www.businesswire.com/news/home/20220623005993/en/
For media inquiries: Paolo De Luca Chief Strategy Officer
paolo.deluca@organigram.ca
For investor inquiries: investors@organigram.ca
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