Toronto advised MedReleaf Corp. in its $132.5 million “bought deal” prospectus offering

January 1, 2018

Client: MedReleaf Corp.

Our Toronto office advised MedReleaf Corp. (“MedReleaf” or the “Company”) in connection with its $132,500,000 short form prospectus offering, on a “bought deal” basis (the “Offering”), whereby MedReleaf issued 5,000,000 units at a price of $26.50 per unit.  Each unit consisted of one common share of the Company and one-half of one common share purchase warrant, each whole warrant exercisable into one common share of the Company until January 31, 2020 (subject to accelerated expiry in certain circumstances), at an exercise price per common share of $34.50 (subject to adjustment in certain circumstances). 

The Offering was underwritten by a syndicate of underwriters consisting of Canaccord Genuity Corp., as co-lead underwriter and sole bookrunner, GMP Securities L.P. as co-lead underwriter, and also including Clarus Securities Inc., Cormark Securities Inc., Beacon Securities Limited, Echelon Wealth Partners, Eight Capital and PI Financial Corp.

The Company intends to use the net proceeds from the Offering to finance the acquisition and/or construction of additional cannabis production and manufacturing facilities in Canada as well as in other jurisdictions with federal legal cannabis markets, where warranted by the opportunities available to MedReleaf, and the expansion of the Company’s marketing and sales initiatives. 

The Toronto team was led by Sean Williamson and Nader Hasan.