SNDL Will Buy Remaining Nova Cannabis Shares For $29M, Here's What's Happening And When
SNDL Inc. (NASDAQ: SNDL) and Nova Cannabis Inc. (TSX: NOVC) announced on Tuesday that they have entered into an arrangement agreement under which SNDL will acquire all of the issued and outstanding common shares in the capital of Nova not already owned by SNDL, representing roughly 34.8% of Nova shares, for approximately CA$40 million ($29.1 million). "We are committed to building a consumer-centric model at scale, supported by SNDL's robust shared service model, access to capital, and a well-developed cannabis retail pipeline," Zach George, SNDL's CEO, said. "These factors are integral to the achievement of sustained profitable growth." Under the terms of the agreement, Nova's shareholders will receive $1.75 in cash for each Nova share, representing a premium of 41.2% to the 20-day VWAP of Nova Shares on the Toronto Stock Exchange (TSX) as of market close on Aug. 12, 2024.
