OrganiGram Holdings jumps on about C$124.6 mln investment from BAT unit

Organigram Global

06/11/2023 19:22

** Shares of Canadian cannabis firm OrganiGram Holdings
 OGI.TO  up 17% at C$1.86
    ** Company announces C$124.6 mln ($91.10 mln) investment
from BT DE Investments - a unit of BAT  BATS.L 
    ** BAT will subscribe for 38.7 mln shares at a price of
C$3.2203 per share, for gross proceeds of C$124.6 mln across
three tranches, OGI says
    ** OrganiGram to use C$83.1 mln of the investment to create
a strategic investment pool, Jupiter, to expand its geographic
footprint
    ** OGI also says C$41.5 mln of the investment will be used
for general corporate purposes
    ** BAT to increase voting common share ownership position to
30% and overall equity interest to 45% with this deal - OGI
    ** OrganiGram stock down 56.6% YTD





($1 = 1.3677 Canadian dollars)

 (Reporting by Sruthi Narasimha Chari in Bengaluru)
 ((Sruthinarasimha.chari@thomsonreuters.com))