Curaleaf Sets Pricing for C$16 Million Offering of Subordinate Voting Shares

LOS ANGELES-  In a significant development in the cannabis industry, U.S.-based Curaleaf, a leading provider of consumer cannabis products, has determined the pricing for its marketed offering of subordinate voting shares. As per the announcement, each offered security is priced at C$6.00.

Canaccord Genuity, the sole underwriter and bookrunner for this offering, has committed to acquire 2,700,000 of these securities. This acquisition translates to total gross proceeds of C$16,200,000 for Curaleaf.

The securities in question are to be extended across Canadian provinces, excluding Québec, in accordance with a prospectus supplement tied to the company’s base shelf prospectus from December 30, 2022. Furthermore, in the United States, the offer will target “qualified institutional buyers” and will be facilitated through exemptions from the registration requisites of the U.S. Securities Act of 1933. This offering prospectus supplement is slated for filing on September 28, 2023.

The culmination of this offering is anticipated for October 3, 2023. However, the successful closure hinges on prevailing market conditions, as well as certain routine conditions, including the stipulations set by the Canadian Securities Exchange.

The rationale behind this offering from Curaleaf is twofold. Firstly, it’s a precursor to meet conditions necessary for a possible listing of the subordinate voting shares on the Toronto Stock Exchange (TSX). The company intends to allocate a segment of the offering’s proceeds to back the working capital requirements of Curaleaf Holdings International, its international venture. Secondly, the funds will also cater to the overarching corporate objectives of the company.