Valens Shareholders Approve The Arrangement With SNDL
The Valens Company Inc. (NASDAQ:VLNS) (TSX:VLNS) announced that its shareholders have voted in favor of the resolution approving the plan of arrangement pursuant to which SNDL Inc. (NASDAQ:SNDL) will acquire all of the issued and outstanding common shares of Valens on the basis of 0.3334 of a SNDL common share for each outstanding Valens common share, on and subject to the terms of the arrangement agreement dated August 22, 2022 to which Valens and SNDL are parties. Over 96% of votes cast at the company's special meeting of shareholders held on November 29, 2022 were in favor of the resolution.
"With this announcement, we are one step closer to combining two best-in-class cannabis companies that have extremely complementary assets to create a true market leader. This pro forma company will create Canada's first large vertically integrated cannabis company that unites SNDL's exceptional balance sheet and largest cannabis retail network in Canada with Valens' low-cost manufacturing platform. We look forward to taking Valens' brands to new heights and unlocking 2.0 products for the SNDL platform," stated Tyler Robson, CEO of The Valens Company. "We believe the pro forma company provides investors with attractive exposure not only to the highest revenue generating cannabis company in Canada trading well under its tangible book value but also a dominant platform that can become a global leader in cannabis."
The arrangement is expected to close in January 2023, subject to the satisfaction and/or waiver of the closing conditions set forth in the agreement, including, among other things, final court approval from the Ontario Superior Court of Justice (Commercial List).
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Photo by Ryan Lange on Unsplash
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