OrganiGram Holdings Inc. Acquisition of Laurentian Organic Inc.
Goodmans LLP acted for Organigram Holdings Inc. (TSX: OGI and NASDAQ: OGI), the parent company of Organigram Inc. (collectively “Organigram” or the “Company”), a leading licensed producer of cannabis, in connection with its acquisition of all of the issued and outstanding shares of Laurentian Organic Inc. (“Laurentian”), in a cash and share transaction for aggregate consideration of $36 million, plus earnout consideration (the “Earnout Consideration”) payable, if applicable, based on Laurentian surpassing certain EBITDA thresholds in calendar 2022 and 2023.
The purchase price paid on closing (the “Upfront Consideration”) was $36 million and consisted of $10 million in cash, and $26 million by the issuance of 10,896,442 shares (the “Common Shares”) based on the volume-weighted average price of Organigram’s Toronto Stock Exchange listed securities for the five trading days ending December 20, 2021 equaling $2.3861. Earnout Consideration, if any, will be payable in Common Shares, if EBITDA thresholds are met, at two different points:
The Laurentian acquisition (the “Laurentian Acquisition”) further strengthens Organigram’s position in the Canadian market through the expansion of the Company’s portfolio into premium products, including hash and craft cannabis, in addition to providing an important presence in the province of Quebec through a scalable cultivation and operational footprint.
Expertise
Featured Work
-
Mergers and Acquisitions
Dream Residential REIT acquired by Morgan Properties for C$491 million
Goodmans LLP acted for the Special Committee of Dream Residential REIT in connection with its acquisition by Morgan Properties in an all-cash transaction for approximately C$491 million… -
Shareholder Activism
Plantro Ltd. and Calian Group enter cooperation agreement
Goodmans LLP advised Plantro Ltd. in connection with entering a cooperation agreement with Calian Group Ltd. to accelerate its board renewal process and establish a temporary board committee to… -
Mergers and Acquisitions
Maple acquires Beyond ADHD
Goodmans LLP acted for Maple Corporation in connection with its acquisition of Beyond ADHD, whereby Beyond ADHD will operate as a Maple subsidiary… -
Mergers and Acquisitions
CompoSecure announces business combination with Husky Technologies
Goodmans LLP is acting as Canadian counsel to CompoSecure Inc. in connection with its proposed business combination with Husky Technologies Limited, for enterprise value of $5 billion. The transaction… -
Mining
Coeur Mining, Inc. to acquire New Gold Inc. for US$7 billion
Goodmans LLP is acting for Coeur Mining, Inc. in connection with its definitive agreement to acquire New Gold Inc. for US$7 billion pursuant to a court-approved plan of arrangement… -
Mergers and Acquisitions
Andlauer Healthcare Group acquired by UPS
Goodmans LLP acted for Andlauer Healthcare Group (“AHG”) in connection with its acquisition by UPS via an all-cash transaction that values AHG at an equity value of approximately C$2.2 billion…