Trulieve Prices SBS Offering Close To $40 Per Share, Seeking Almost $200M In Funding

Trulieve Cannabis Corp. TRUL TCNNF announced Wednesday the pricing of the previously-announced marketed public offering of its shares.

The Tallahassee, Florida-based company opted to sell 5 million subordinate voting shares in the United States and Canada in an underwritten public offering, at a price of C$50.00 per share (or $39.63 per share, per the conversion rate found on Bloomberg at 4:30pm ET on April 7, 2021). Total proceeds before deductions, commissions and other expenses, are expected to come in at approximately $198.1 million.

Underwriters will be granted a month to buy up to an additional 750,000 subordinate voting shares at the public offering price.

The offering, conducted via a syndicate of underwriters, will be led by Canaccord Genuity LLC. The closing date is expected around April 12.

The company said it intends to utilize the proceeds to fund business ‎development, as well as for general working capital purposes‎.

Expanding Fast

Trulieve recently opted to expand its footprint recently by acquiring three Pennsylvania-based medical marijuana dispensaries. According to a Monday update, the company purchased three Keystone Shops stores for $60 million.

In March, the acquisition of Mountaineer Holding LLC boosted its footprint in West Virginia to six dispensaries.

"As we enter 2021 with the political changes and heightened focus on cannabis in the country, we believe these shifts along with our momentum and strategic vision position us for a strong year ahead," CEO Kim Rivers said.

According to its latest earnings update, the company expects to generate between $815 million and $850 million in revenue during 2021 and between $355 million and $375 million in adjusted EBITDA.

Photo by Esteban Lopez on Unsplash