MedReleaf to raise $100M in IPO on TSX

MedReleaf Corp. has filed for an amendment to its proposed initial public offering (IPO) and secondary offering. MedReleaf expects the offering price will be between $9.50 and $10.50 per share with the amount of the offering being approximately $100 million: $80 million in treasury offering and $20 million in secondary offering of $20,000,000)

Selling shareholders are 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. and 2564459 Ontario Limited (corporations each 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.

MedReleaf has applied to have the common shares listed on Toronto Stock Exchange (TSX) under the symbol “LEAF”.

The underwriting syndicate is led by GMP Securities L.P., as co-lead underwriter and sole bookrunner, Clarus Securities Inc., as co-lead underwriter, and including Canaccord Genuity Corp., Cowen and Company, LLC, Eight Capital and PI Financial Corp.

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.

MedReleaf has raised $36 million in equity financing since its inception in 2013.

RELATED:
MedReleaf prices $100M IPO on TSX
MedMen backed MedReleaf files for IPO on TSX

photo credit: MedReleaf


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