On December 4, 2017 MedReleaf Corp. (“MedReleaf”), a licensed producer under the Access to Cannabis for Medical Purposes Regulations, completed its bought deal short form prospectus offering (the “Offering”) of an aggregate of 6,072,600 common shares of MedReleaf (the “Offered Shares”) for aggregate gross proceeds of approximately $100.5 million with MedReleaf and certain shareholders receiving gross proceeds of approximately $60.0 million and $40.5 million, respectively.
The Offering was underwritten by a syndicate of underwriters led by GMP Securities L.P., as lead underwriter and sole bookrunner, Canaccord Genuity Corp., Clarus Securities Inc., Cormark Securities Inc. and PI Financial Corp. (collectively, the "Underwriters").
MedReleaf intends to use the net proceeds from the treasury 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 MedReleaf’s marketing and sales initiatives.
Fasken acted as counsel to the Underwriters with a team that included John Sabetti, Jessica Catton Rinaldi, Markus Liik and Mariko Rivers (Corporate/Securities), Christelle Gedeon (IP/Regulatory) and Mitchell Thaw (Tax), with assistance from students-at-law Simar Anand, Daniel Richer and Ken Taylor.
