Cannabis Co. Sundial Raises Commitment To Venture SunStream Bancorp To $538M

Cannabis company Sundial Growers Inc. SNDL said Wednesday it has raised its financial commitment to SunStream Bancorp Inc by CA$350 million ($282.4 million) to CA$538 million.

Based in Calgary, Sundial announced in March the launch of a 50/50 joint venture with SAF Opportunities LP - a member of the Canadian alternative investment management firm SAF Group - through a new corporation, SunStream Bancorp.

The entity was formed to create investment opportunities in the cannabis space by issuing loans, as well as hybrid investments in cannabis businesses and marketable securities.

In addition, the joint venture was projected to pursue other opportunities as well, including a Canadian SPAC.

The initial CA$100 million commitment from Sundial was upped in April to CA$188 million.

“SunStream will enable Sundial to remain focused on our core operations while leveraging the strength of SAF’s private equity and credit investment expertise on a global scale,” Zach George, CEO of Sundial, said in March. “We look forward to working together to generate attractive returns for our stakeholders through broader capital deployment opportunities in the global cannabis market.”

Photo by Tim Foster on Unsplash

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