The Valens Company Inc. (“Valens”) and Citizen Stash Cannabis Corp. (“Citizen Stash”) announced they have entered into an arrangement agreement pursuant to which Valens will acquire all of the issued and outstanding common shares of Citizen Stash by way of a court-approved plan of arrangement under the Canada Business Corporations Act, in an all-share transaction. The transaction is valued at approximately $54.3 million on an enterprise value basis. Under the terms of the Arrangement Agreement, Citizen Stash shareholders will receive 0.1620 of a Valens common share (“Valens Share”) for each Citizen Stash Common Share held (the “Exchange Ratio”). The Exchange Ratio implies a premium per Citizen Stash Common Share of approximately 35.1% based on the 15-day volume-weighted average price (“VWAP”) of the Citizen Stash Common Shares on the TSX-V and the Valens Shares on the TSX as of the close of markets on August 27, 2021. This acquisition is anticipated to solidify Valens’ position as a top tier cannabis company by enhancing the Company’s market share and adding an innovative, premium flower brand to its portfolio

Published Ncv Newswire, New Cannabis Ventures, 08/31/2021 08:50:00

Open article: https://www.newcannabisventures.com/valens-to-acquire-craft-cannabis-producer-citizen-stash-in-54-million-stock-based-deal/