CALGARY, AB, Jan. 29, 2021 /CNW/ - Sundial Growers Inc.
(Nasdaq: SNDL) ("Sundial" or the "Company") announced today that it
has priced a best efforts underwritten registered offering of
100,000,000 Series A Units, each consisting of one common share and
one-half Series A Warrant to purchase one common share and
33,333,334 Series B Units (and together with the Series B Units,
the "Units"), each consisting of one pre-funded Series B Warrant
(together with the Series A Warrants, the "Warrants") to purchase
one common share and one-half Series A Warrant to purchase one
common share. Each Series A Unit will be sold at a price of
US$0.75 per Series A Unit and each
Series B Unit will be sold at a price of US$0.75 per Series B Unit, minus US$0.0001, and the remaining exercise price of
each Series B Warrant will equal US$0.0001 per common share. Sundial's gross
proceeds from this offering are expected to be approximately
US$100 million, before deducting
underwriting discounts and estimated offering expenses. All of the
securities in the offering are being sold by Sundial. The Warrants
will be exercisable immediately after issuance and have a term of
five years commencing on the date of issuance. The exercise price
of the Series A Warrants will be US$0.80 per common share. The offering is
expected to close on February 2,
2021, subject to customary closing conditions.
The Company intends to use the net proceeds from the offering
for the financing of possible acquisitions of, or investments in,
equipment, facilities, assets, equity or debt of other businesses,
products or technologies and for working capital and general
corporate purposes.
Canaccord Genuity LLC is acting as sole book-running manager for
the offering. A.G.P./Alliance Global Partners and ATB Capital
Markets Inc. are acting as co-managers for the offering.
The offering will be made only by means of a prospectus
supplement and an accompanying prospectus filed as part of an
effective shelf registration statement filed with the Securities
and Exchange Commission (the "SEC") on Form F-3 and declared
effective on January 25, 2021. A
prospectus supplement for the offering will be filed with the SEC
and available on the SEC's website, www.sec.gov. Copies of the
prospectus supplement, when available, may be obtained from
Canaccord Genuity LLC, Attention: Syndicate Department, 99 High
Street, 12th Floor, Boston, MA
02110, or by email at prospectus@cgf.com. This press release 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 SUNDIAL GROWERS INC.
Sundial is a public company with Common Shares traded on Nasdaq
under the symbol "SNDL".
Sundial is a licensed producer that crafts cannabis using
state-of-the-art indoor facilities. Our 'craft-at-scale' modular
growing approach, award-winning genetics and experienced master
growers set us apart.
Our Canadian operations cultivate small-batch cannabis using an
individualized "room" approach, with 448,000 square feet of total
space.
Sundial's brand portfolio includes Top Leaf,
Sundial Cannabis, Palmetto and
Grasslands. Our consumer-packaged goods
experience enables us to not just grow quality cannabis,
but also to create exceptional consumer and customer
experiences.
We are proudly Albertan, headquartered in Calgary, AB, with operations in Olds, AB,
and Rocky View County, AB.
Forward-Looking Information Cautionary
Statement
This news release includes statements containing certain
"forward-looking information" within the meaning of applicable
securities law ("forward-looking statements"), including, but not
limited to, statements regarding the Company's operational goals,
demand for the Company's products and development of the legal
cannabis market. Forward-looking statements are frequently
characterized by words such as "plan", "continue", "expect",
"project", "intend", "believe", "anticipate", "estimate", "likely",
"outlook", "forecast", "may", "will", "potential", "proposed" and
other similar words, or statements that certain events or
conditions "may" or "will" occur. These statements are only
predictions. Various assumptions were used in drawing the
conclusions or making the projections contained in the
forward-looking statements throughout this news release.
Forward-looking statements are based on the opinions and estimates
of management at the date the statements are made and are subject
to a variety of risks and uncertainties and other factors that
could cause actual events or results to differ materially from
those projected in the forward-looking statements. Please see the
risk factors identified in the Company's filings with the U.S.
Securities and Exchange Commission, including those identified in
the Company's Annual Report on Form 20-F, for a discussion of the
material risks that could cause actual results to differ materially
from the forward-looking information. The Company is under no
obligation, and expressly disclaims any intention or obligation, to
update or revise any forward-looking statements, whether as a
result of new information, future events or otherwise, except as
expressly required by applicable law.
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SOURCE Sundial Growers Inc.