SOL Global CEO Acquires Stock to Increase Personal Holding to 10%

Rhea-AI Summary

On August 18, 2021, Andrew DeFrancesco, CEO of SOL Global Investments Corp, acquired a total of 630,700 common shares, increasing his ownership stake from 0.97% to approximately 2.18%. The shares were obtained through a market transaction at an average price of CAD$3.5926 and a private transaction at USD$3.30. If all deferred and performance share units held by DeFrancesco are converted, his ownership could rise to 10%. He expressed confidence in SOL's potential, citing temporary weaknesses in the US cannabis sector.

Positive

• Increase in CEO's ownership stake from 0.97% to 2.18%, reflecting confidence in the company.
• Potential for ownership to rise to 10% if shares from deferred and performance units are settled.

Negative

• Acquisitions made during a period of temporary weakness in the US cannabis sector.

Andrew DeFrancesco, Chief Executive Officer of SOL Global Investments Corp. (the “Company” or “SOL Global”), announces that on August 18, 2021, he acquired ownership of 330,700 common shares in the capital of SOL Global (the “Common Shares”) on the Canadian Securities Exchange at an average price of CAD$3.5926 per Common Share (the “Market Transaction”) and an additional 300,000 Common Shares from one arm’s length vendor in a private transaction at a price of USD$3.30 per Common Share (the “Private Transaction”, and collectively with the Market Transaction, the “Transactions”). The completion of the Transactions resulted in an increase from approximately 0.97% to approximately 2.18% in Mr. DeFrancesco’s security holding percentage of the issued and outstanding Common Shares on a non-diluted basis. In addition, Mr. DeFrancesco owns 3,112,000 deferred share units (the “DSUs”) and 1,400,000 performance share units (the “PSUs”). The DSUs and PSUs may be settled for Common Shares at the sole discretion of the Company. Assuming that all of the DSUs and PSUs are each settled for one Common Share, Mr. DeFrancesco will own 10% of the issued and outstanding Common Shares on a partially-diluted basis.

“SOL is one of the best stocks in my humble opinion for upside based on our holdings and factoring in the temporary weakness in the US Cannabis sector”, said SOL Global CEO, Mr. DeFrancesco. “My best returns have come from betting on myself and once again I have a Super Star team supporting me”.

Mr. DeFrancesco acquired the securities reported herein for investment purposes. Mr. DeFrancesco may, depending on market and other conditions, increase or decrease his beneficial ownership in the Company’s securities, whether in transactions on the open market, by privately negotiated arrangements or otherwise, subject to a number of factors, including general market conditions and other available investment and business opportunities.

This news release is being issued to comply with National Instrument 62-104 - Take-Over Bids and Issuer Bids and National Instrument 62-103 - The Early Warning System and Related Take-Over Bid and Insider Reporting Issues. An early warning report will be filed and available on SEDAR regarding the Transactions. To obtain more information or to obtain a copy of the early warning report to be filed in respect of this news release, please contact SOL Global at the contact details noted below.

View source version on businesswire.com: https://www.businesswire.com/news/home/20210820005053/en/

FAQ

What recent transactions did SOL Global's CEO make regarding shares?

On August 18, 2021, CEO Andrew DeFrancesco acquired 630,700 common shares, increasing his ownership from 0.97% to approximately 2.18%.

What is the average price paid for the common shares in the market transaction?

The average price for the common shares in the market transaction was CAD$3.5926.

How might Andrew DeFrancesco's shares impact SOL Global's future?

If all deferred and performance share units are settled, DeFrancesco's ownership could increase to 10%, potentially aligning his interests with shareholders.

What challenges did SOL Global mention in the press release?

The press release referenced temporary weaknesses in the US cannabis sector, which could affect the company's performance.

What compliance regulations is SOL Global addressing with this press release?

The release meets requirements under National Instrument 62-104 and National Instrument 62-103 concerning insider reporting.