Nanaimo cannabis producer files for IPO on Nasdaq
NANAIMO — Cannabis producer Tilray Inc. filed for a proposed initial public offering on the Nasdaq stock exchange Wednesday, a day after Parliament made a final vote to legalize cannabis nationwide.
The Nanaimo-based company said it has not determined the number of shares to be offered or the price range for the offering. It will trade under the symbol TLRY.
The company, one of the largest marijuana producers in Canada yet to go public, says it does not intend to list on any stock exchange in Canada.
Tilray has roots in the U.S., formed as a subsidiary of Seattle-based Privateer Holdings, a private investment firm focused exclusively on the cannabis industry. The firm’s portfolio of brands also includes Leafly, Marley Natural and Goodship. The company said Privateer will continue to control a majority of the voting power on its stock after the closing of the offer.
In its filing, Tilray boasts of having its products available in 10 countries and agreements with established pharmaceutical distributors in 12.
In Canada, the company has signed agreements to supply medical cannabis to Pharmasave and Shoppers Drug Mart.
The company has also signed agreements to supply cannabis for adult use with Quebec, Yukon, and the Northwest Territories and says it’s finalizing a letter of intent with Manitoba.
Tilray has formed High Park Holdings Ltd. as a subsidiary through which it plans to produce and distribute recreational marijuana.
Tilray said it plans to use funds from the offering to build out cultivation and processing capacity at its Enniskillen, Ont., London, Ont., and Cantanhede, Portugal, facilities, as well as to repay funds to Privateer Holdings.
Meanwhile, Aurora Cannabis Inc. is planning to spin off its Australis Capital subsidiary as a separate entity that would focus primarily on investing in the U.S. cannabis and real estate sectors.
The spinoff will be achieved by distributing shares and warrants of the new company — to be listed on the Canadian Security Exchange.
“The fragmented U.S. cannabis market has many innovative and successful operators that struggle to access growth capital,” said Aurora CEO Terry Booth. “This creates exciting and attractively priced opportunities for the well-connected and knowledgeable team at Australis to capitalize on.”