Rights Offer Closes & Oversubscription Bookbuild Commences

OFFER
Thu, Sep 08 2022 11:58 am

Results of the Rights Offer

Cannasouth advises that it has closed its 1 for 10 pro rata renounceable rights offer ("Rights Offer”). Cannasouth will now undertake the Oversubscription Bookbuild process.

The Rights Offer closed on 7 September 2022 with approximately 5.063m new shares being taken up by Eligible Shareholders, raising approximately $1,519,000.

Applications were also received from Eligible Shareholders for a further $1,502,000 in oversubscriptions above those Eligible Shareholders respective entitlements under the Rights Offer.

Dealing with Oversubscriptions

An Oversubscription Bookbuild process in respect of approximately 8.66m shares not taken up by Eligible Shareholders under the Rights Offer, including the shares attributable to Ineligible Shareholders, will be conducted today, and tomorrow.

The price at which new shares will be issued under the Oversubscription Bookbuild is the Oversubscription Price. The Oversubscription Price will be determined by Cannasouth not later than 5pm on 9 September 2022. In no event will the Oversubscription Price be less than the issue price of $0.30 under the Rights Offer, but could potentially be higher. Eligible Shareholders who applied for Additional New Shares in the Oversubscription Bookbuild will be allocated shares at the Bookbuild Price (subject to scaling).

In the event that the amount of demand exceeds the amount of new shares available under the Oversubscription Bookbuild facility, Cannasouth reserves the right to scale applications received, or to accept those additional applications and issue additional shares under the 15% placement rule in accordance with the NZX Listing Rules.

Cannasouth is conducting the Oversubscription Bookbuild in conjunction with CM Partners. Market participants and investors wishing to take part in the Oversubscription Bookbuild should contact:

• CM Partners Limited ([email protected])

Further details on the Oversubscription Bookbuild are set out in the Offer Document issued in support of the Rights Offer.

Allotment of New Shares

Settlement, allotment and trading in the new shares under the Rights Offer and the Oversubscription Bookbuild is expected to occur on or before 14 September 2022 under the existing ticker “CBD”.

-ENDS-

For further information visit www.cannasouth.co.nz or contact:

Mark Lucas
CEO / Executive Director
Email: [email protected]
Mobile: 021 484 649

Colin Foster
CFO / Company Secretary
Email: [email protected]
Mobile: 027 577 1498


Announcement PDF


Markets News

NZ sharemarket down 0.38%
Markets Market close

NZ sharemarket down 0.38%

The S&P/NZX 50 Index closed at the day’s low of 12,349.47, down 46.79 points or 0.38%.

Graham Skellern 26 Jul 2024
Markets

Forsyth Barr initiates full Turners coverage

Forsyth Barr says a premium valuation is now warranted. 

Rebecca Howard 26 Jul 2024
Forsyth Barr initiates full Turners coverage
Economy

The kiwi dollar is falling prey to the bears

The only worst performer is the Norwegian krone.

Rebecca Howard 26 Jul 2024
The kiwi dollar is falling prey to the bears