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Canopy Growth | 424B3: Prospectus

SEC announcement ·  May 6 16:40
Summary by Moomoo AI
Canopy Growth Corporation, known on the Toronto Stock Exchange as WEED and on the Nasdaq Global Select Market as CGC, has entered into an exchange and subscription agreement with MMCAP International Inc. SPC. Under the terms of the agreement, MMCAP will deliver approximately C$27.5 million in principal amount of Supreme Debentures and pay US$50 million to Canopy Growth. In return, Canopy Growth will issue a senior unsecured convertible debenture worth C$96,358,375 and 3,350,430 common share purchase warrants to MMCAP. The convertible debenture carries a 7.50% annual interest rate, payable semi-annually, and is convertible at C$14.38 per share. It includes a forced conversion feature if the average closing price of Canopy Growth's common shares exceeds C$21.57 for 10 consecutive trading days. The...Show More
Canopy Growth Corporation, known on the Toronto Stock Exchange as WEED and on the Nasdaq Global Select Market as CGC, has entered into an exchange and subscription agreement with MMCAP International Inc. SPC. Under the terms of the agreement, MMCAP will deliver approximately C$27.5 million in principal amount of Supreme Debentures and pay US$50 million to Canopy Growth. In return, Canopy Growth will issue a senior unsecured convertible debenture worth C$96,358,375 and 3,350,430 common share purchase warrants to MMCAP. The convertible debenture carries a 7.50% annual interest rate, payable semi-annually, and is convertible at C$14.38 per share. It includes a forced conversion feature if the average closing price of Canopy Growth's common shares exceeds C$21.57 for 10 consecutive trading days. The warrants allow MMCAP to purchase common shares at C$16.18 each for five years from the closing date. The transaction is expected to close in the week of May 6, 2024, subject to customary conditions. Canopy Growth has also committed to filing a registration statement with the SEC for the resale of the Debenture Shares and Warrant Shares and has granted MMCAP a four-month right of first refusal for future private placements. The agreement follows the Company's compliance with the Investment Company Act of 1940 and accuracy in SEC filings. The closing price of Canopy Growth's common shares on Nasdaq was US$10.23 on May 3, 2024.

This announcement is a separate document:

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