TerrAscend announces CA$52 million financing, Canopy partnership

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A Mississauga, Ontario-based medical marijuana company is taking steps to raise 50 million Canadian dollars ($40 million) through a private placement of its securities to expand its existing facility and pursue strategic pharmaceutical assets.

TerrAscend – traded on the Canadian Securities Exchange under the symbol TER – said in a news release that it entered into subscription agreements involving 47 million shares of the company.

Once the private placement closes, JW Asset Management will own 36.8% of TerrAscend, Canopy Growth will own 12% and Canopy Rivers will own 12%.

JW Asset Management specializes in early stage venture investments.

Canopy Rivers, a subsidiary of Canopy Growth, invests in and enters into cannabis streaming agreements with licensed producers.

What you need to know:

  • The closing of the private placement is subject to TerrAscend joining Canopy Growth’s CraftGrow program.
  • Canopy’s CraftGrow brings cannabis grown by a variety of producers to the Tweed Main Street online marketplace.
  • Each share sold in the private placement will consist of one common share and one warrant for an additional share.