Canadian online cannabis retailer Namaste Technologies Inc. said Jan. 2 that it agreed to sell 11,765,000 units of the company to a syndicate of underwriters led by Eight Capital for gross proceeds of C$30.0 million.
Namaste is selling the units on a bought-deal basis for C$2.55 apiece and has granted the underwriters an option to buy up to 15% of the units in whole or in part on or prior to 30 days following the closing of the offering. The company said it could raise an additional C$4.5 million if the option is exercised in full.
The company added that it intends to use the proceeds to fund its inventory and for working capital and general corporate purposes.
The transaction is expected to close on or about Feb. 27.
