VLNS - SNDL to acquire rival cannabis player Valens in all stock deal
- SNDL ( SNDL ) announced on Monday that the Canadian cannabis company inked an agreement to acquire the domestic rival The Valens Company ( NASDAQ: VLNS ) for a nearly $138M in an all-stock deal. SNDL is currently trading sharply lower and VLNS is on hold for trading.
- Per the terms, SNDL will buy all of the issued and outstanding common shares of VLNS other than the company and its subsidiaries already own in exchange for 0.3334 of SNDL common share for each VLNS share.
- The consideration implies $1.26 per VLNS share and indicates a premium of 10% based on the stock’s trailing 30-day volume-weighted average price.
- The combined entity will be a vertically integrated cannabis platform and it will operate as SNDL Inc. and VLNS investors will own ~9.5% of the pro forma entity. The transaction is expected to close during Jan. 2023.
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SNDL to acquire rival cannabis player Valens in all stock deal