MedReleaf prices $100M IPO on TSX

MedReleaf Corp. has priced its proposed initial public offering (IPO) and secondary offering of 10,600,000 common shares at $9.50 per share, the low end of its proposed $9.50-10.50 price range, for gross proceeds of $100,700,000.

8,494,742 shares will be sold by MedReleaf and 2,105,258 shares are being sold by Zola Finance Inc. (a corporation controlled by Tarik Ouass), MENA Investment Network Inc. and AJA Holdings 2013 Inc. (corporations each controlled by Stephen Arbib), Rayray Investments Inc. (a corporation controlled by Raymond Leach), Tikun Olam Ltd. (a corporation controlled by Tsachi Cohen), Baronford Heights Limited (a corporation controlled by Theodore Wine), Eva Fashion Limited (a corporation controlled by Vadim Soiref), MedMen Opportunity Fund, LP and Neil Closner.

The Toronto Stock Exchange (TSX) has conditionally approved the listing of MedReleaf shares under the symbol “LEAF”. The offering is expected to close on or about June 7, 2017

The offering is led by GMP Securities L.P., as co-lead underwriter and sole bookrunner, Clarus Securities Inc., as co-lead underwriter. Norton Rose Fulbright Canada LLP and Fasken Martineau DuMoulin LLP are acting as legal counsel to MedReleaf and the underwriters respectively.

Markham, Ontario based MedReleaf is licensed by Health Canada pursuant to the ACMPR to produce at its Markham facility an aggregate of up to 6,000 kilograms of dried cannabis and up to 1,760 kilograms of cannabis oil, and to sell and distribute within Canada an aggregate of up to 5,000 kilograms of dried cannabis, up to 1,319 kilograms of bottled cannabis oil, and up to 440 kilograms of encapsulated cannabis oil.

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photo credit: MedReleaf

Ted Liu

Ted Liu, M.Sc. (Mining), MBA (Finance), is the Editor of Private Capital Journal, CanadaMetals.ca, TechWire.ca, and the former Editor of Canadian Private Equity. Ted has been passionately tracking Canadian private capital industry since 1992, having most recently served as Research Director for The Canadian Venture Capital and Private Equity Association (CVCA).

Ted is the architect of CVCA infobase, and is the architect of CPE Media's Financings.ca, Canada's most sophisticated and advanced all private capital and public market financing database.