Medical cannabis company Cansortium Inc. closed its IPO, raising about US$53.1 million.
The company's common shares will begin trading on the Canadian Securities Exchange under the TIUM.U ticker beginning March 22.
The Miami-based company issued units, priced $2 each in the offering. The total units sold include the partial exercise of the agents' option to buy up to 536,100 additional units.
Each unit consisted of one common share and half of a share purchase warrant. A whole warrant is exercisable for $2.40 apiece within a 24-month period after the IPO's closing.
Additionally, Cansortium sold 1,552,899 units in a concurrent nonbrokered private placement, which generated gross proceeds of $3.1 million.
Net proceeds will be used to further expand the company's operations in Florida, Puerto Rico, Texas, Pennsylvania, Michigan, Colombia and Canada.
A portion of the proceeds will also to toward repayment of debt and for general working capital purposes.
Paradigm Capital Inc. and Canaccord Genuity Corp. acted as agents in the IPO.