Sundial Files New Shelf Registration Statement
Sundial Growers announced it has filed a universal shelf registration statement with the SEC for the potential offer and sale of securities up to US$200 million. Additionally, Sundial has filed a preliminary prospectus for an at-the-market equity program, targeting US$150 million in common shares. Proceeds from the ATM program will primarily be used to reduce debt and finance potential business acquisitions, equipment, or general corporate purposes. The registration, however, is not yet effective, limiting immediate sales or offers of the securities.
- Filed a universal shelf registration statement allowing for up to US$200 million in securities.
- Introduced an at-the-market equity program targeting US$150 million.
- The registration statement is not effective yet, preventing immediate sales.
- Potential liquidity issues could arise if new financing fails or is delayed.
CALGARY, AB, Dec. 4, 2020 /PRNewswire/ - Sundial Growers Inc. (NASDAQ: SNDL) ("Sundial" or the "Company") announced today that it has filed a "universal shelf" registration statement on Form F-3 (the "Shelf Registration Statement") with the U.S. Securities and Exchange Commission (the "SEC") allowing for the offer and sale of various securities in an amount of up to US
The Company intends to use the net proceeds from the ATM Program, if any, to continue to retire its indebtedness and for the financing of possible acquisitions of, or investments in, equipment, facilities, other businesses, products or technologies and for working capital and general corporate purposes.
The Shelf Registration Statement has been filed with the SEC, but has not yet become effective. Securities (including the common shares under the ATM Program) may not be sold, nor may offers to buy such securities be accepted, prior to the time the Shelf Registration Statement becomes effective. No securities regulatory authority has either approved or disapproved of the contents of this press release. This press release is for information purposes only and does not constitute an offer to sell or the solicitation of an offer to buy any securities (including the common shares under the ATM Program), nor shall there be any sale of any securities in any state or jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such state or jurisdiction.
ABOUT SUNDIAL GROWERS INC.
Sundial is a public company with Common Shares traded on Nasdaq under the symbol "SNDL".
Sundial is a licensed producer that crafts cannabis using state-of-the-art indoor facilities. Our 'craft-at-scale' modular growing approach, award-winning genetics and experienced master growers set us apart.
Our Canadian operations cultivate small-batch cannabis using an individualized "room" approach, with 448,000 square feet of total space.
Sundial's brand portfolio includes Top Leaf, Sundial Cannabis, Palmetto and Grasslands. Our consumer-packaged goods experience enables us to not just grow quality cannabis, but also to create exceptional consumer and customer experiences.
We are proudly Albertan, headquartered in Calgary, AB, with operations in Olds, AB, and Rocky View County, AB.
Forward-Looking Information Cautionary Statement
This news release includes statements containing certain "forward-looking information" within the meaning of applicable securities law ("forward-looking statements"), including, but not limited to, statements regarding the Company's financing initiatives, operational goals, demand for the Company's products, the Company's ability to achieve profitability, the development of the legal cannabis market, future financings and the maintenance of production levels. In particular, any failure or delay in obtaining new financing would have a material adverse effect on our liquidity and impair our ability to operate as a going concern. In such a case, the Company would look to delay investments or capital expenditures and evaluate potential asset sales, but it could be forced to curtail operations or seek relief under bankruptcy or insolvency laws. In addition, depending on the development of the cannabis market and the Company's ability to capture any growth opportunities, future liquidity issues may continue to arise, which could have a material adverse effect on our business, results of operations and financial condition. Forward-looking statements are frequently characterized by words such as "plan", "continue", "expect", "project", "intend", "believe", "anticipate", "estimate", "likely", "outlook", "forecast", "may", "will", "potential", "proposed" and other similar words, or statements that certain events or conditions "may" or "will" occur. These statements are only predictions. Various assumptions were used in drawing the conclusions or making the projections contained in the forward-looking statements throughout this news release. Forward-looking statements are based on the opinions and estimates of management at the date the statements are made, and are subject to a variety of risks and uncertainties and other factors that could cause actual events or results to differ materially from those projected in the forward-looking statements. Please see the risk factors identified in the Company's filings with the SEC, including those identified in the Company's Annual Report on Form 20-F and other filings with the SEC, for a discussion of the material risks that could cause actual results to differ materially from the forward-looking information. The Company is under no obligation, and expressly disclaims any intention or obligation, to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, except as expressly required by applicable law.
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SOURCE Sundial Growers Inc.
FAQ
What is the recent filing by Sundial Growers related to SNDL?
How does Sundial Growers plan to use the proceeds from the ATM program?
When will Sundial Growers be able to sell securities under the new registration?
What risks does Sundial Growers face regarding their recent financial filings?
What securities are included in Sundial's ATM program?
