• Daily Marijuana Observer Facebook
  • Daily Marijuana Observer Twitter
  • Daily Marijuana Observer StockTwits
  • Daily Marijuana Observer SA
  • Daily Marijuana Observer Instagram
  • Daily Marijuana Observer Youtube
  • Pinterest Social Icon
  • Daily Marijuana Observer Talk Market

Aphria Lowers Cash and Shares Payable to Nuuvera Shareholders

February 20, 2018


This morning, Aphria Inc. (TSX:APH) (OTC:APHQF) announced that it has entered into an amending agreement to the previously announced arrangement agreement with Nuuvera Inc. (TSXV:NUU) (OTC:NUUVF)

The two companies have agreed to amend the Arrangement Agreement to reduce both the required level of unrestricted cash and the consideration payable to holders of Nuuvera's common shares. The consideration under the Amendment has been reduced from $1.00 CAD in cash plus 0.3546 of an Aphria common share for each Nuuvera share to $0.60 CAD in cash plus 0.3546 of an Aphria share for each Nuuvera share.


This offers substantial savings for Aphria, while cutting back payables to Nuuvera shareholders measurable. 


Aphria had previously announced in connection with the Arrangement Agreement that it had secured irrevocable hard lock ups from Nuuvera shareholders  representing more than a majority of both the currently outstanding Nuuvera Shares and the "minority" Nuuvera shareholders to vote in favor of the Arrangement Agreement. In connection with the Amendment, Aphria has sought and received consent from Lock-Up Shareholders that, together with Nuuvera Shares already owned by Aphria, represent approximately 65% of the currently outstanding Nuuvera Shares and over 57% of the requisite minority shareholders of Nuuvera, to the reduction of consideration under the Arrangement Agreement.


In connection with the Amendment, the board of directors of Aphria received an opinion from its financial advisor, Cormark Securities, that, as of February 19, 2018, and subject to the assumptions, limitations and qualifications on which such opinion is based, the consideration to be offered by Aphria in respect of the Arrangement, as amended by the Amendment, is fair, from a financial point of view, to Aphria.


The completion of the transaction contemplated under the Arrangement Agreement and the Amendment is not expected to be delayed and the transaction is expected to close in April, 2018.


It should be noted that in the Frankfurt session yesterday, shares of Aphria traded up 0.27€ or 2.97% to 9.35€, which is equivalent to roughly $14.57 CAD or $11.60 USD per share. For perspective, shares of Aphria closed the Friday session in Toronto trading at $14.06 CAD per share.


To stay up to date with important developments in the cannabis industry, be sure to subscribe to one or more of our free email newsletters. Also, connect with The Daily Marijuana Observer on Facebook, Twitter, StockTwits and Instagram!



Please reload

Please reload

Please reload


© Copyright 2016-2020 Smoke Show Ventures, Inc.

RSS Feed

Disclaimer: Except for the historical information and data presented herein, matters discussed in articles on this website contain forward-looking statements that are subject to certain risks and uncertainties that could cause actual results to differ materially from any future performance or achievements expressed or implied by such coverage. Smoke Show Ventures, Inc., which owns The Daily Marijuana Observer, is not registered with any financial or securities regulatory authority, and does not provide nor claims to provide investment advice or recommendations to readers of this release. Smoke Show Ventures, Inc., which owns The Daily Marijuana Observer, may from time to time have a position in the securities mentioned herein and will increase or decrease such positions without notice. Before making specific investment decisions, readers should seek their own professional advice and that of their own professional financial adviser. Smoke Show Ventures, Inc. or its affiliates, which owns The Daily Marijuana Observer, may be compensated for its services in the form of cash-based and/or equity- based compensation in the companies it writes about, or a combination of the two. For full disclosure please visit: https://www.dailymarijuanaobserver.com/legal-disclaimer/.