Cannex Capital Holdings Inc. completed an all-stock merger with 4Front Holdings LLC, a retail and brand development company in the U.S. cannabis sector, to create 4Front Ventures Corp.
The new combined company will continue to trade on the Canadian Securities Exchange and will change its ticker symbol to FFNT on Aug. 6.
Shares of Cannex will not trade Aug. 1-2 to update the record of current Cannex's shareholders with new 4Front Ventures shares. The new company will also list its shares on the OTC Markets.
Cannex expects to withdraw its shares from the OTCQX market until 4Front Ventures registration is complete.
McMillan LLP, Inverness Advisors and Beacon Securities Ltd. advised Cannex Capital on the transaction, with Beacon providing a fairness option.
4Front Holdings CEO Josh Rosen will become the CEO of the combined company.
Vancouver, British Columbia-based Cannex Capital provides real estate, management, financial, branding and intellectual property support to its portfolio of licensed cannabis business operators.
4Front Holdings operates five medical cannabis dispensaries in Illinois, Maryland, Massachusetts and Pennsylvania. The company plans to open at least five more dispensaries in the first half of 2019.